Trulia’s Chief Economist, Jed Kolko , explained his thoughts after the company revealed the results of a survey on first time buyers. The target of the survey was the millennials, aka young adults, and here is what the study reported.
- 43% are already homeowners
- 93% that currently rent plan to purchase a home
- 72% say homeownership is part of their personal American Dream
Kolko says, “Millennials have been shaken, not scarred by the housing bust. Nearly all of them want to own a home someday, if they’re not homeowners already. But many of them think today’s low prices and low mortgage rates will last. They may be in for sticker shock if the cost of homeownership has returned to normal levels by the time they’re ready to buy.”
If you are a young adult waiting to buy, you must realize that the price of a home and the cost of a mortgage are both projected to increase in the next 12 months. So take action now towards your dreams of homeownership.