Buyers Put Down More To Lower Monthly Costs

With home prices soaring out of reach and rates hot, Americans are doing whatever they can to lower their monthly payments, according to a series of new reports from Redfin. The typical monthly housing payment hit a record high of $2,721 in the four weeks ending March 24, up 10% YOY. A combination of prices and rates is keeping homeownership unaffordable for the average family, which earns $30,000 less per year than necessary to comfortably purchase a house.  First-time buyers have it even worse thanks to boiling competition for low-priced homes. To afford a starter home, they need to earn almost twice as much as before the pandemic. With these pressures on Americans’ wallets, buyers are looking for other ways…

Young Buyers Willing To Accept Higher Rates

Young homebuyers tolerate high mortgage rates better than their older counterparts. Gen Z and Millennial respondents to a new survey say they will accept rates as high as 6.3% and 6.2%, respectively, in order to buy a home in 2024. Gen X and Baby Boomers, in comparison, won’t accept any rate above 6%. The survey, ServiceLink’s State of Homebuying Report, focused on Americans who bought or tried to buy a home in the last four years. Younger buyers also expressed more determination to buy this year, with 63% of Gen Z respondents and 59% of Millennials saying they plan to, compared to 45% of Gen X and 21% of Baby Boomers. Taken together, 47% of all respondents plan to purchase…

One In Five Millennials Believe They Will Never Own A Home

Young Americans’ homebuying outlook just keeps getting worse. Almost one in five Millennials (18%) and 12% of Gen Z respondents to a Redfin survey believe they will never be able to own a home. They overwhelmingly see affordability as their primary barrier, with half citing high prices as their biggest concern. Just under half of respondents say they can’t save for a downpayment, coming in second. Notably, just over one-third directly blamed mortgage rates for the state of the market. Other concerns include paying off student loans and being able to make monthly mortgage payments. “The worsening housing affordability crisis has an outsized impact on Gen Zers and Millennials because they’re much less likely to own a home than older…

What Will Future Homebuyers Look Like?

By ERIN FLYNN JAY American homebuyers are getting older and industry leaders are preparing to welcome more Hispanic homeowners in the coming decades. According to the 2023 Home Buyers and Sellers Generational Trends Report by the National Association of Realtors, members of Gen X between 43 and 57 years old made up 24% of recent buyers. They were followed closely by younger Baby Boomers who, between 58 and 67 years old, represented 23% of recent buyers. Older Millenials between the ages of 33 and 42 accounted for just 16% of recent purchases. The typical first-time homebuyer is 36, and the typical repeat buyer’s age climbed to 59 last year. Those are the highest ages recorded, a press release for NAR’s…

Atlanta Named Top Spot For College Grads

By KIMBERLEY HAAS Professional opportunities, affordability, and fun in the country’s cities are being measured as commencement ceremonies wrap up nationally and Atlanta is coming out on top as the best place for college graduates to move to. Earlier this week, WalletHub named Atlanta, Georgia, the best city to start a career after comparing the relative market strength and overall livability of 182 cities using 26 key metrics ranging from the monthly average starting salary to housing affordability. Atlanta did well in the WalletHub ranking because of the availability of entry-level jobs and its low unemployment rate. On May 2, CoworkingCafe named Atlanta the best city to start a career with a bachelor’s degree. The underlying analysis took into account…

Gen Z Is Buying Homes At A Faster Rate Than Millennials

Gen Z is proving that young Americans want to be homeowners and are willing to prioritize it. According to new Redfin data, Gen Z  is ahead of Millennials when it comes to homeownership, with 37% of Gen Z respondents already owning a home or planning to purchase one within the next five years. Only 32% of Millennials said they have taken that step or plan to within the same time frame. “The rising tide lifted Gen Z homebuyers in 2020 and 2021; they were part of the pandemic-driven homebuying frenzy,” said Redfin Chief Economist Daryl Fairweather. Gen Z is more likely to prioritize homeownership as a financial goal, with 60% of Gen Z respondents citing it as a top priority…

Zoomers Prioritize Pet-Friendliness Over Their Romantic Partners When Choosing A Home

Zoomers are approaching homeownership from a different perspective than past generations, focusing more on their pets than their romantic partners. A recent Zillow survey found that Gen Z adults consider a fenced backyard more essential than a double sink in the primary bathroom, a home office for their partner, or a kids’ playroom. When asked whether it was more important to have a pet-friendly home or a kid-friendly home, features, 10% more Zoomers chose the former. At the same time, almost a full quarter of Gen Z pet owners would move if their home wasn’t working for their pets. Only 12% said the same about their partners’ preferences. “Young adults may be delaying parenthood, but they’re not putting off pet…

Millennials, Gen Zers See Inflation Rates Decline As Rents Cool

Members of Gen Z and Millenials are seeing their personal inflation rates cool as rent prices moderate. These demographics have lower personal inflation rates than the overall population for the first time in two years, according to a new CPI analysis from Redfin. Gen Zers and Millennials who signed a new lease in December saw the cost of their goods and services rise 5.6% and 6.1%, respectively, compared to a 6.5% increase for the average American. Gen Zers overall now have a lower personal inflation rate than the U.S. population for the first time since the beginning of 2021. Inflation was heavily impacted by shelter costs, which make up around a third of the value of goods and services included…

Homeownership “Unattainable”: 1 In 4 Americans Putting Off Buying A Home Indefinitely

Housing affordability is a bigger deal to Americans than the possibility of a recession, according to a new survey by Personal Capital. The survey found that 1 in 4 people have decided to put off buying a home “indefinitely.” Rising mortgage interest rates were the number one concern of respondents, despite the fact that more than 75% said they expect a recession within two years. Gen Z was the generation most likely to say homebuying isn’t currently an option for them, and nearly a quarter called homeownership “unattainable.” Gen Zers overwhelmingly want to own their own homes, with 59% identifying homeownership as a sign of success. But many are worried they may never be able to afford a home if prices continue…

Americans Predict A Housing Market Crash– And Zoomers Are Hoping For It

As the housing correction continues, most Americans have a gloomy outlook for the market’s future. A ConsumerAffairs survey found that 78% of Americans expect the housing market to crash and soon. More than half of baby boomers said they believe 2023 will bring a housing crisis. Most Zoomers went so far as to say they’re hoping for one– 84% want a market crash because they believe it will help them buy their first home. Gen Zers overwhelmingly want to own their own homes, with 59% identifying homeownership as a sign of success. But many are worried they may never be able to afford a home if prices continue rising as they have in the last two years. “Non-homeowners cite insufficient…