Where the Millennial Homebuyers Go
High levels of college debt and a sluggish job market have kept many millennials from the dream of home ownership. However, things have improved a bit in recent years, and increasing numbers of young Americans are ready to take the (home-ownership) plunge. Where are the best markets for them to buy?
It’s an interesting question, since this generation is still quite price-sensitive overall. Pricey markets in the Northeast and West are still unaffordable for many.
Recently, the National Association of Realtors set out to identify which metro areas are the best bets for millennial buyers.
These metros feature still affordable housing with steady job growth and lower qualifying incomes needed to buy. It’s the magic trifecta for young buyers.
According to NAR’s study these are currently the best purchase markets for millennials buyers:
- Austin, Texas
- Charleston, South Carolina
- Minneapolis, Minnesota
- Ogden, Utah
- Portland, Oregon
- Raleigh, North Carolina
- Salt Lake City
- Washington, D.C.
NAR also identified these markets as having promising potential for millennial homebuyers:
- Des Moines, Iowa
- Jacksonville, Florida
- Nashville, Tennessee
Notice how we don’t see San Francisco, Los Angeles or New York on those lists? Sure, those are great cities for starting a career, but one look at the housing prices would scare away most young people looking to settle down.
Perhaps the great “go to” cities of the future will be the ones that have relatively affordable housing today.
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