Millennials: Homebuying, Retiring Prioritized Over Marriage

Millennials: Homebuying, Retiring Prioritized Over Marriage

October 11, 2018
First comes the house and then maybe marriage or children, according to surveyed millennials detailed in Bank of America’s 2018 Homebuyer Insights Report, which was culled from 2,000 consumer responses. The survey finds that 23- to 40-year-olds value homeownership above nearly everything else: 72 percent call it a top priority compared to 50 percent who say getting married or 44 percent who say having children are top priorities. “Being able to retire” topped homeownership in the survey at 80 percent.
Bank of America priorities chart
© Bank of America
Most millennials equate homeownership with personal and financial success, the survey finds. They also say buying a home makes them feel mature (47 percent); act like an adult (47 percent); and feel independent (36 percent).
“Younger generations tell us that owning a home has become a milestone that defines their success, and it’s promising to see them aspiring to homeownership,” says D. Steve Boland, head of consumer lending at Bank of America.
Renters seem to be upbeat about buying, too, but several obstacles are delaying their plan. Nearly 50 percent of renters surveyed say they believe renting long-term will prove to be more expensive than buying a home, and 69 percent believe their rent will continue to increase every year or every other year. Renters acknowledge that their finances, however, are the top barrier to homeownership, citing the lack of down payment funds or not being able to afford the home they want as the biggest obstacles. Also, some myths to homeownership may be preventing renters from taking the plunge into homeownership. Forty-nine percent said they believe they need a 20 percent down payment to buy a home and nearly one in four believe they need a “perfect” credit score to qualify for a mortgage.
Source: 
“2018 Fall Homebuyer Insights Report,” Bank of America (2018)


Source: https://magazine.realtor/daily-news/2018/10/11/millennials-homebuying-retiring-prioritized-over-marriage

Popular posts from this blog

Advice Young Adults Need to Avoid Buyer’s Remorse

Advice Young Adults Need to Avoid Buyer’s Remorse March 4, 2019 Most young adults have financial regrets about their home purchase, a new Bankrate survey shows, but much of their grief could have been avoided with proper planning. That’s where you come in: Younger buyers have a need for more professional guidance about the costs of homeownership. Sixty-three percent of millennial homeowners—more than any other generation—expressed buyer’s remorse, most often pertaining to closing costs, home maintenance, and other hidden expenses, according to the survey of more than 2,000 consumers. “When you buy a house, you can’t call the maintenance company or a landlord to fix major issues; it’s all on you,” says Luis Rosa, a financial planner in Henderson, Nev. Extra expenses, such as needing a new air conditioner, furnace, or water heater, often catch first-time buyers by surprise, Rosa adds. “I always advise home buyers to create savings buckets and open a savings account
Read more

Housing Slowdown Doesn’t Scare First-Time Buyers

Housing Slowdown Doesn’t Scare First-Time Buyers March 4, 2019 Despite recent declines in home sales, sluggish growth in single-family home construction, and mounting affordability concerns, first-time buyers are outperforming other segments of the market, according to a new report released by Genworth Mortgage Insurance. “The first-time home buyer market has been more resilient during the [housing] slowdown compared to repeat buyers,” writes Tian Liu, chief economist at Genworth Mortgage Insurance. About 482,000 first-time buyers purchased homes in the fourth quarter of 2018. Though that’s 3 percent lower than a year ago, it bests the 7 percent year-over-year decline in repeat buyer activity, according to the report. “This is a reminder that first-time home buyers differ from other buyer groups in terms of why they buy,” Liu notes. “Their purchase decisions are more likely driven by the fact that many are starting families and reaching peak homebuying ages. Even
Read more

What Buyers Should Ask After a Home Inspection

What Buyers Should Ask After a Home Inspection October 9, 2018 You are here Home News and Commentary Daily News What Buyers Should Ask After a Home Inspection Share Facebook Twitter LinkedIn Print October 9, 2018 After an inspector has finished a home report, buyers may feel overwhelmed by any flaws that might have been found. That’s why it’s important they take the opportunity to learn more so that they can move forward confidently in the transaction. A recent article at realtor.com® recommends home buyers ask their inspector clarifying questions like: “I don’t understand this; what does it mean?” or “Is this a major or minor problem?” and “Do I need to call in another expert for a follow-up?” Home inspectors are bound to uncover something in a home; no home is perfect. But the majority of the problems they uncover will likely be minor. Have the home inspector clarify which problems fall within the “minor” or “major” categories. Keep in mind: “The inspector can't tel
Read more