Bungalo Homes released a new report that reveals millennials are buying larger starter homes. They view this starter home as a long-term investment.
Single-Family Homes Rank Highest:
Millennials are currently between 25 and 34 years old. Of this group, 74% want to purchase a pre-owned single-family home. Meanwhile, 16.5% would like a condo, and 16% prefer a townhome.
This report also shows millennials are purchasing their starter-homes later in life. The average age of a first time millennial home buyer is 32.
The Demand for Space:
Those who are purchasing homes have a significant priority on “space.” Of those surveyed, 57% said they want more space, and that is the top reason for moving.
The demand for space shows that Millenials are looking for properties that they can grow into overtime. The report suggests that Millennials are looking for larger homes that provide more “bang for their buck.”
Move in Ready Homes are Ideal:
Millennials’ thoughts on starter homes have evolved regarding fixer-uppers. Of those surveyed, 76% said they wanted a move-in ready home. Only 1% said they disagreed with that idea.
Millennials explain they “don’t have the time or budget” to renovate, that is why there is a demand for move-in ready homes.
Largest Home Buying Demographic:
84% of those surveyed believe there will be a financial trade-off to owning a home.
According to the National Association of Homebuilders, millennials are the largest homebuying demographic. It is projected 77% of Millennials will be buying their first home – that number is more than Gen X and baby boomers combined.
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