Thanks to the timing of the 2008 financial crisis, millennials have a reputation as a generation that’s laden with financial struggle. And while it definitely took some time for this younger generation (millennials are considered anyone 36 years or younger) to recover, if you’re judging by the real estate data, it’s safe to say that in 2018, millennials are doing just fine.
According to the National Association of Realtors® Home Buyer and Seller Generational Trends Report, in 2017, millennials made up the largest share of homebuyers on the market at 34%, putting them well ahead of Gen Xers (28%) and Baby Boomers (Younger Boomers, aged 52 to 61, came in at 16%, while Older Boomers, aged 62 to 70, made up 14%).
Out of that 34% of millennial buyers, 66% were buying a home for the first time, meaning more millennials are making the transition from the outrageously expensive rental market to a more long-term investment of owning a home.
What’s the reason for so many millennial buyers flooding the market?
For one, renting has become so expensive, buying a home is often times the more affordable choice (according to a recent report from Zillow, renting is more expensive than owning in the majority of the US’ major metro areas). And with a variety of non-traditional lending options on the market that require little or no down payment, buying a home is becoming more and more accessible for younger buyers.
If you’re a millennial thinking about buying a home, it’s time to make the move: if 34% of the market is made up of buyers just like you, owning a home is probably more within your reach than you ever thought possible.