Millennials Waiting Longer to Buy Now Than Buyers Did in 2006

John Burns Real Estate Consulting's housing demographer Chris Porter recently published new data drawing a clearer picture of current Millennial household formation trends.

Porter says that knowing what the disruptors are in a given housing market demographic (i.e. new technologies, economic cycles), and evaluating the effects of disruption on buyers based on their life stage can be useful in one's business. Per JBREC's data, 36-year olds are 5 percent more likely now to be living with their parents than they were a decade ago, households are forming two years later than they were at that time, and young homebuyers are waiting five years more to purchase than they were in 2006.

Remember that 2006 had levels of homeownership that may never be achieved again. So what to do with all of this? Make better housing demand conclusions. Know the life experiences of your target tenant or buyer. Don’t consider all millennials to be the same. The 1990s Connectors born in 1995 owned just over 56,000 homes in 2016, while the 1980s Sharers born in 1985 owned more than 800,000 homes.

Read more