Millennials In America

In an effort to save money and lower debt, more and more millennials are turning living in their parent's basement from the punchline of a bad joke or sitcom fodder into an accepted, and even

Despite this fact, home ownership in the economic and social landscape of today is a big responsibility. Economically, most millennial most likely cannot afford to own their own home. A mortgage is a much larger payment than rent for an apartment. Similarly, owning a home means paying for gas, electric, water and furniture to fill a house; this also includes any grounds upkeep depending on the home’s location and property taxes. Socially, Millennials seem to be straying away from owning a home because it

The typical series of big events in life include graduating high school, going to college, finding a significant other, graduating college, getting married, and buying a home. Although these events happen in a variety of different patterns nowadays, a major bump in the road is occurring when looking to buy a home, especially in Colorado Springs. This article highlighted the challenges that the millennial generation is facing when reaching this stage in life. "Student loan debt is more than $1.2 trillion, and nearly 70 percent of college graduates have some student loan debt, according to the Federal Reserve (pg 1)." These college graduates now need to add loan payments to their monthly debts, leaving them with even less disposable income. Not

The article, Is the American Dream Dead? by Mechele Dickerson, a professor of law, describes, in depth, how housing is holding American citizens back. In the quote “After peaking almost 70 percent in 2004 during the housing boom, they’ve plunged, falling to below a 50-year-low of below 64 percent in 2015,” (Dickerson) the rate at which owning a house has decreased is shown. This sudden decrease is due to the recent recession in 2007 and 2008. Renting has become popular all over; this is shown in the quote, “Renting is no longer limited to recent high school or college graduates as the majority of renters in the country are 40 years or older, up from 43 percent in 1995.

The housing crisis in the late 2000’s was created in part from subprime loans that lenders gave to individuals that did not have to provide proof of income that they could afford the house. This was a disaster likely to repeat itself. If a person is hoping to buy a home, they will buy whatever the lender allows them to purchase even though it could be a financial stretch. Lenders, builders, sellers, appraisers, buyers, owners, and governmental policy makers are all still gambling with the economic future of both their buyers and the American economy as a whole.

Changes in market conditions make buying a house difficult. The percentage and reasons why young adults are living with parents show

Housing is a national crisis issue and the professional solution has priced itself beyond the reach of the majority of citizens.(Archer) To own a house implies commiting oneself to a mortgage and guaranteed income level for the majority of one’s working life.

Many families lost their homes to foreclosure during the recent economic downturn in the US economy. These former homeowners became renters as the national home ownership rate dropped. Many families felt that home ownership would remain out of their reach due to previous foreclosure history. In addition, losing your home and transitioning to renting is tough on your psyche. However, as rental rates continue to increase and the economy recovers these same families now see possibilities of home ownership again. The housing market has characterized the buyers as “Boomerang Buyers”.Approximately 5 million people lost their homes to foreclosure or short sale and become potential boomerang buyers. Quietly, by buying homes again, these buyers

We, more than any other age, want stability. No one wants to see that in us because it’s a tough fight to get it, but we want to self-manage and have financial certainty. Houses mean something entirely different to us than to others. We don’t see houses as necessities or obligations. We don’t take mortgages lightly or settle into some place we’re not happy with. The real estate market has some new customers who are taking their choices seriously. To us, that house has to be earned, and it’s also an investment. We don’t feel an obligation to settle into that house; we want it because of what it offers us. That house can grant both stability and financial security. Making an investment like that is something that overjoys a generation still shaken from the uncertainty of the market crash. When we make investments, we become adults. There is nothing scarier or more exhilarating than stepping away from an age where we can’t control the world around us into being at the wheel. The housing market may not have the same customers as it once did, but these customers are ones who aren’t taking any decisions lightly. Stepping from dorm to apartment to renting and, finally, to owning a home is a terrifying journey. Nobody should take it lightly, but we should take it. We’re ready to take on mortgages and handle the economy in a new

The recession of 2007-2009 has been over for 8 years, but its impact will forever change the way that Millennials interact with their world. Millennials are now in between the ages of 19 and 36, and the question of future homeownership has been on the minds of this generation that is now fully comprised of young adults. Anytime this question comes up, they are haunted by the memories of parents and the parents of childhood friends who struggled to hold on to their properties during the dark time in America where so much loss of wealth and security took place. These memories discourage many members of the generation from purchasing homes because they bring about a sense of uncertainty for how the state of the economy could affect their ability to

Especially here in Alaska. Things are so expensive and unless you have a really good job you can’t pay everyday bills and save the amount needed. If millennials are saving it will be at a rate that will make them available to purchase when they’re about 30. According to a study I found 68 % of millennials said they have saved less than $1000.00 for a down payment (80 % of millennials say they want to buy a home, By: Ester Bloom). There are a lot of programs out there that can help people get familiar with the homebuying process and programs available for down payment assistance and other housing scholarships. I feel like not too many of millennials know about these, When I started to look for a home buying opportunity I had to find all this on my own.

Our research has revealed in 1940 the U.S. Census Bureau recorded the median price of a single family home in the U.S. was approximately $2,938. The median yearly income was $1,730. The Housing Cost to Income ratio (HCTI) was just over 2:1. Most borrowers during this period kept their mortgages for 30-years. During the 1970s borrowers began to exhibit major behavioral changes by ceasing to keep their mortgages until full term (the average being 10 years) while their HCTI ratios ballooned to over 5:1.

During this era of economic crisis and downfall, many people are turning their backs from mortgage debt to a more affordable way of living. “Living Small” is becoming a large trend throughout the world, especially in the United States. In recent years, housing in America has been on a wild roller coaster ride that is on an increasingly unpredictable course. With the average American home almost quadrupling in size and a shift towards cheap disposable consumables, our home lives have evolved to be easy and without thought of the land around. The millennial generation have had a new form of the American Dream imposed on them, one that is laid out from start to end, with the

97% of Generation Z believe they will one day own a home and over 80% say it is the most important part of their adult planning, according to a survey of teens age 13 to 17 as reported by Time Magazine Online. What is more astounding is that 50% of those Gen Zs, who were raised in the digital world, would give up social media for a year and do double the homework if it guaranteed they’d be able to secure housing.

The information has already been provided that sense the the housing market crashed people in general have been apprehensive to purchase homes. But even more so to the new generation of millennials. And even current events are shaping the future of home ownership, like the new revision on taxes. So does most certainly understandable to why people would be so wary of the dangers, and struggles of buying a home. And how it might be all together easier not to buy one.