The Impact of Millennials on the Real Estate Marketadmin / 0 Comments /
It had been predicted that the Millennial Generation (18-34 year olds), would be key to a healthy rebound in the real estate market. However, based on new survey data released by Redfin, they might actually be responsible for the low inventory of homes for sale.
Millennials are, for the most part, more optimistic about the housing market. They have not seen home mortgage rates over 5 percent and have been able to build more equity than home owners of older generations. Additionally, they are confident they will see an increase in home values over the next year.
Therefore, according to the survey, millennials are more apt to rent out their home instead of selling their starter home. As a result, the supply of homes for sale will continue to remain low. A recent article on DSNews.com by Brian Honea indicates “…28 percent of millennials plan to rent out their house instead of selling it, compared to only 4 percent of homeowners ages 55 and older.”
For more information, read the entire article.