Millennial homeownership jumps 1 percent [Video]
Posted on Monday, November 2, 2015 at 11:09:13 AM
Total homeownership ticked up from the second to third quarter this year. However, millennial homeownership made a jump more than twice as large.
While the portion of the population that owns a home is gradually rising, millennials are buying up properties at a much faster rate than the rest of the population. This trend is something that experts have long forecasted - a wave of young, often first-time homebuyers carrying the housing recovery on their backs. While for some time it has been difficult for these people to break into the market due to strict credit standards and student loan debt, among other factors, they are finally finding circumstances tilting in their favor - at least for now.
The Census Bureau reported that homeownership increased to 63.7 percent in the third quarter from 63.4 percent through the previous three months. Though the surge was small, it was movement in a positive direction. However, homeownership for millennials rose to 35.8 percent from 34.8 percent, a relatively large leap compared with that of the general population.
With interest rates low, credit standards loosening and the job market improving, millennials are finally finding opportunities to squeeze into the housing market, and they're doing so much more often than other generational cohorts. Should their homebuying habits continue, they will remain an integral part of the housing recovery.