Millennials are moving into the market!
Nearly five million millennials are set to turn 30 this year, and they are now making up the biggest segment of home buyers. As recently as 2018, millennial homeownership was at record lows, but that changed significantly with the pandemic.
According to Apartment List’s Homeownership report, millennials led all generations in homebuying last year, accelerating a trend in millennial homeownership rates, which rose the fastest. The millennial homeownership rate has climbed to 47.9% from 40% just three years ago, according to the report. And 30% of millennials said in a recent survey by Clever Real Estate that the pandemic pushed them to house-hunting earlier than planned.
Around 86% of younger millennials and 52% of older ones are buying their first homes, and some are buying luxury properties that are well beyond what you might consider a starter home.
Millennials will likely drive the market throughout 2021. A survey from the National Association of Home Builders in the fourth quarter of 2020 found that 27% of millennial respondents planned to buy a home in the next 12 months, up from 19% the year before.