Millennial Homebuyers a Major Opportunity for US Housing Market

724 483 The Advantage Group

Over the next five to ten years 3.1 million millennials are going to enter the age of typical first-time homebuyers. However, due to low inventory for homes, student debt, and delayed marriage (amongst other factors), almost 22% of millennials are returning home to live with their parents after college graduation.

According to a recent analysis by  Zillow reports that “nearly 45 million Americans will reach the general age of first-time homebuyers in the next 10 years, 3.1 million more than in the 10 years prior.” Additionally, CNBC states that “fewer of them can afford to buy a home. The homeownership rate among millennials is about 8% lower than previous generations at their age.”

Additionally, over the last five years, prices for starter homes have increased 57%, while inventory is down 23%, according to Zillow.

This presents an opportunity for homebuilders to build new homes, at the right price, for the incoming wave of new home buyers.

Continue reading…

AUTHOR

The Advantage Group

All stories by: The Advantage Group

Leave a Reply

Your email address will not be published.