:
In the United States, there are over 72 million millennials. If you’re part of that generation and have considered buying a home, you aren’t alone. According to Zonda, 98% of millennials want to become a homeowner at some point if they aren’t already. But why? There are plenty of reasons you may choose to become a homeowner. Here’s why other millennials have made that decision (see graph below):
This graph shows why millennials are buying homes according to Zonda’s 6th annual millennial survey. The top reasons include: 1) building equity, 2) changing life stages, 3) desiring stability, 4) rising home values, and 5) preferring to make somewhere their own. Here’s a look at each in more detail.
Building equity
Homeownership is a long-term investment that allows you to create: 1) wealth, 2) increase your net worth, and become more 3) financially stable. Beyond that, the alternative to owning a home is typically renting. With the way rents have risen so dramatically over time, it may make sense to build your own equity instead of the equity of the person you’re renting from.
A change in life stage
As a millennial, you’re reaching your prime homebuying years. That means you may be at the point where you need more space or a different location.
Stability or settling down
This could mean establishing your career or deciding more concretely what you want your life to look and feel like. As that idea becomes more apparent, you may wish to establish that lifestyle in a particular place and put down roots.
Rising home values
By purchasing a home, you own an asset that traditionally increases in value over time. That can mean your home will have a higher resale value if you decide to move again.
Wanting to make somewhere “mine”
Owning a home gives a sense of freedom because you can customize it however you want, make updates as you see fit, and be yourself in a place solely your own.
Key Takeaway
There are plenty of great reasons why millennials are buying homes today. If you’ve thought about becoming a homeowner and any of these reasons resonate with you, too, let’s connect to explore your options.
Other educational articles about the market and your home search are under Karen’s Blog. Additionally, explore the search bar for other topics of interest.
