According to a recent report from the National Association of Realtors, millennials accounted for more than a third (36 percent) of all home purchases in 2017.
So what is a millennial? They are defined as being born from 1981-1996. Generation X were born from 1965-1980 and Baby Boomers are from 1946-1964. Millennials are expected to overtake Boomers in 2019 as the largest generation.
They believe buying a home is a good investment but low inventory and higher housing costs have kept many of them out of the market. Student loan debt is also making saving for a down payment hard.
According to the Pew Research Center, most millennial were between 5 and 20 when the 9/11 terrorist attacks happened. While most “post-millennials” have little or no memory of the event. Most millennials came of age and entered the workforce during the height of the economic recession.
Baby Boomers grew up as television expanded dramatically. Generation X grew up as the computer revolution was taking hold and millennials came of age during the internet explosion, per the Research Center.
In Columbia, more than half of the buyers in 2017, for the first time, were millennials said Nick Kremydas, CEO of the S.C. Association of Realtors. He said millennials may be more financially secure than other generations and are reaping the benefits of good, stable employment.
Millennials are driven by FOMO: fear of missing out. In the last year, they started seeing their friends buying homes and thinking “I have to get in on this.”
Currently the biggest problem in buying a house is the low inventory. This applies to everyone, not just millennials.
According to Daniele Hale, chief economist for Realtor.com, it is the most competitive housing market seen in history. In Columbia, this is the same situation. Our inventory is low. It creates less days on the market for a Seller and creates multiple offers agents have to skillfully deal with, especially if the home is well-priced and in good condition.
On a fun note, ATC, LMK, if this is TMI. TTYL. Millennial speak for, All things considered, let me know if this is too much information. Talk to you later.
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