Generation Y less likely to be homeowners
Millenials (Or Generation Y) are defined as those born between the early 1980s to the early 2000s. Most of the generation has either graduated college or will graduate in a few years and will more than likely be looking forward to forge to their next life goal, like buying a home. But according tor recent statistics Millenials are the least represented in the housing market, where 36.8% of people under the age of 35 are homeowners. There have been many speculations as to why this has happened.
1. Because of the housing market crash, Millenials are cautious about buying homes. Millenials have seen their parents, family members or neighbors struggle with keeping their homes and are reluctant to put themselves in the same situations.
2. Millenials also have a high number of debt caused by student loans. That coupled with a high rate of unemployment can make them uneligble for mortgage loans.
3. More Millenials are moving back in with their parents. More than 36% of Millenials are livng with their parents, either because it is easier or because it is what they can afford. Because it has become more common, it has become more socially acceptable for a young person to live with their parents.
4. Many Millenials value being flexible. With the job market not being very stable, it is likely that a Millenial may have to do several moves for a job. Owning a house can limit their mobility in order to move with their job.
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