During 2017 a lot of home buyers will be first-time buyers, who are also know in real estate market as «millennials», most of them under age 35. To understand the motivations, type of property and areas in demand for both groups, millennials and boomers, continue reading.
Comparing with last year, only 33% of people who were planning to buy a home were first-time buyers, however this year the 52% of buyers who have eye on a home purchase will be home first-buyers, and 61% of those are under age 35.
According to the annual survey by Realtor.com of shoppers, 2017 is a true sea change in the buying population that will affect which homes and neighborhoods are the most desirable this year.
Meanwhile, boomers or repeat buyers looking to buy may want to consider a winter home purchase in order to avoid bidding wars and higher prices spurred by a potential increase in millennial buyers.
The most worried issue by home first-time buyers are financial issues, in order of importance: down payment (37%) and finding a home within their budget (30%). Millennial buyers want to make sure that their money is well spent: making a sound financial investment is a top goal.
This new generation of first-time home buyers is focused on safety, privacy, and more space, indoors and out. That’s because millennials’ top reasons for buying a home are that they’re getting married or moving in with a partner.
As you can see in the graphic, millennial buyers prefer single-family homes (39%) or townhouses (34%). Just 15% are interested in multifamily homes, and 10% in condos.
Both groups prefer suburbs, neighborhoods safer, with green areas and more bigger space. First-time home buyers identify the suburbs as their No. 1 preferred location (43%), and urban areas are the second most popular option among millennials.