A huge percentage still aspire to homeownership
US millennials still believe that owning their own home is part of their American dream and remain undeterred by high inflation, rising mortgage rates, economic uncertainty, high levels of debt, and climate concerns, as shown in a survey by Falls & Co., a marketing firm.
The survey, which polled 999 Americans aged 25-44, found that 89.5% of millennials said that owning a home was part of their American dream, with less than 1% indicating otherwise.
A longing for a humble abode
Sixty-three percent (63%) of respondents to the survey said they wanted to have their own home because they liked the idea of living in one. Meanwhile, 44% said they wanted to build their wealth through owning one and 23% admitted that they wanted to buy a home because they were getting married. Twenty percent (20%) said that having children was their reason.
Among those surveyed, 76% preferred a single-family home while 3.6% wanted a condominium, 8.6% wanted an apartment, and 3.7% wanted a mansion.
The most important feature of a home, according to the survey, was location followed by number of bedrooms and the size of the home. The last on the list was curb appeal while energy efficiency and the inclusion of smart home devices were also lower priorities.
Only 16% of those surveyed showed interest in a home that needed to be fixed. Thirty-two percent (32%) wanted a home that was ready for a move-in, and 24% wanted homes that needed minor cosmetic repairs. Buying a brand-new home was the preference for 13% of respondents.
Forty percent (40%) wanted to have their home in the suburbs while 31% showed interest in either living in or close to a city. Only 23% wanted their homes in a rural area. California was the most desired state to live in while Florida was the least as millennials considered the cost of living (54.3%), proximity to family (37.2%), safety and security (37%), and job opportunities (34%). Political considerations (18.2%) and natural disasters (16.1%) were not as prioritized.
Inflation (57.9%) is the biggest financial barrier currently preventing millennials from buying homes, according to the survey, followed by insufficient savings (47.7%), insufficient income (42%), child expenses (33.2%), student debt (23.1%), and medical debt (19.4%).
Among respondents, 46% believed that their homes will be bigger than their parents’ home while 40% believed it will be nearly the same size and 14% believed it will be smaller.
Climate change considerations were also surveyed, with 54.4% unsure whether that will influence their decision to purchase a home and 35% indicating they were more likely to purchasing because of climate change. Meanwhile, 10% cited those concerns as a reason not to buy a home.
Those who were younger were more confident about owning a home one day as more than half of those between the ages of 25 and 29 said so compared to only 39.9% of those between 30 and 34 as well as 28% of those between 35 and 39.
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