The lowered projection came in part because of continued decline in Millennial household formation and headship rates, despite this cohort’s rising income.
Negative equity hobbles the market by cutting into inventory, as underwater homeowners tend to stay in their homes rather than sell at a loss, while demand from the largest homebuyer group in the nation, Millennials, is already eclipsing supply.
Venture capital firm Andreessen Horowitz’s motto is “Software is eating the world,” and the company now has two housing-centered fintech platforms in its portfolio.