The most affordable markets for millennials [Video]
Posted on Monday, May 11, 2015 at 10:20:55 AM
Millennials are one of the most constricted homebuying demographics, even as residential financing rates and home prices remain relatively low.
This is, in part, due to higher student loans, fewer attractive job prospects and lower household incomes. However, millennials can still buy real estate, they just have to know where to look.
According to research from Zillow, there are a number of markets across the country that are right for millennials. Zillow figured this out by comparing the price of homes in select areas to Gen Y's median income.
Top on the list was Akron, Ohio, where 90 percent of all homes for sale were in millennials' price bracket. Close behind was Buffalo, New York, at 86 percent, followed by St. Louis, Missouri; Des Moines, Iowa; and Pittsburgh. For comparison, out of the homes for sale in Boston, fewer than 60 percent were affordable by millennials.
While it may seem that millennials are on the outside looking in, they actually comprise a significant portion of all homebuyers. According to a report from the National Association of Realtors, millennials made up 31 percent of all homebuyers in 2013. That's more than Gen X at 30 percent and both of the younger and older segments of Baby Boomers.