Not all millennials are living with their parents and struggling to pay off student loan debt. For some, employment prospects are improving and older millennials are now looking toward the future, expecting to fuel a stronger and more expensive housing market in the near future.
“In 2015, increases in employment opportunities will empower younger buyers to return to the market and fuel the continued housing recovery. If access to credit improves, we could see substantially larger numbers of young buyers in the market,” said Jonathan Smoke, chief economist for Realtor.com.
It has been predicted that 65 percent of household formations during the next five years will be driven by millennials and out of this number; 86 percent will be motivated by household size changes. This growth will add 2.75 million expected jobs that will eventually drive first-time buyer sales.
Daniel Villarreal, of Berkshire Hathaway, agrees and adds that many millennials are starting to look at property as a long-term investment rather than just a dwelling.
Villarreal identifies as a millennial and adds, “It was instilled in me at a young age that it’s important to own your own property and begin building equity as soon as possible. The alternative is to pay rent, which essentially is burned money,”Villarreal said.“You will never see that money come back to you in any way, shape, or form. In many cases, you are helping your landlord build their equity, instead of focusing on your own.”
As findings have shown, Millennials are more inclined to use technology in their home search and read online reviews before choosing a realtor. Villarreal caters to that preferred method of millennials by continuously expanding his online resources and providing the knowledge necessary for arming first time homebuyers.
For more information visit DanielVillarrealProperties.com.
