There is no denying that Millennials have been a hot topic for years now. Constant questions about when they will finally move out of their parents’ house or stop renting in particular. As we enter another new year, is it is clear that this generation is changing and will have an impact on the 2018 housing market.
In fact, Millennials started having a major impact in 2017. According to FortuneBuilders, Millennials made up the largest group of homebuyers (34 percent of the total buying pool) in 2017. The statistics show that in addition to making up the largest group of homebuyers, 66% of them were first time buyers. While older generations may have viewed their first home as a forever home, Millennials clearly have a different take on home ownership.
As BloombergView recently pointed out, the unemployment rate is low, rent is increasing, and the millennial generation is growing older and starting families. So what does this mean for the 2018 housing market? It means that Millennials are bound to have an impact on it. Using technology to buy a home is becoming the norm and signs show that Millennials are having more success at taking out mortgages on homes with varying prices according to Realtor.com. This also shows that Millennials may begin to move away from their focus on starter homes as they become harder to find. FortuneBuilders estimates that 66% of Millennials will buy homes in the next five years, and it has already started!