http://virtualrealestateteam.com. As an Oklahoma City real estate investment specialist you would think that I would be happy if everybody becomes a renter, not true. The Millennial Generation, the under 33 group, is large and they are only at about 35% home ownership, the lowest we have seen in my lifetime. We do not need a nation of renters because home ownership builds families, it builds pride, and it is your castle. But with excessive student loan debt, lower paying jobs since 2008, and credit issues, many of this group are delaying buying a home and family formation for as much as seven years longer than previous generations. As a country this is not in our best interest and for me it is not in the best interest of Oklahoma City investors. Home owners drive values up, they improve the properties more than investors, and they believe in him ownership as the American dream. We need to do something for our younger generation of adults and it should start with reforming student loans, and lobbying our state representatives to quit cutting funds for public education. Home ownership is a right and a privilege, and it should bot be removed because of younger people wanting a better life that education brings. This Oklahoma City investment specialist wants that too.
The things you mentioned - excessive student debt, lower paying jobs - do not bode well for the Housing Market, nor for the Economy in general.
Joe Pryor ~ the y generation needs to have an avenue to buy a home or else they will be forced to rent and that's not good!
I've noticed the shift. Many home owners don't stay in the home long and many have opted to rent or homes were sold with the premise of selling to another buyer but an investor bought it instead. There are a lot more rental homes in the past decade and the number keeps growing.
Joe -- All good points .. especially the student debt and not only low paying jobs but LACK of good ones. Inadequate income sources certainly makes it difficult for millenials to be homeowners.
I can tell you that the millenials can't afford entry level in my city so they have to rent.
Good morning Joe. There a trend that is moving in that direction, but it is up to all of us to do our part, so that folks understand what is good about owning a home, as rent is often higher than a mortgage.
Joe, I have had more 20 somethings purchasing homes this year than past. They feel they are throwing away their hard earned money, and feel a purchase is financially a better decision.
I certainly hope not, and you are right it is difficult for the younger generation to purchase a home. You are right about student loan debt, and jobs, and of course the cost of health care now is another consideration.
I remember the first time I met a family that lived in an apartment and I thought it was wild. Now it seems a lot more common. I wonder what will change to help improve their situation for young people today. It doesn't look like the government is coming up with solutions. And the free market is taking over the student loans and that isn't helping either.
Joe- Excellent blog and it bring up a lot of very valid points- This is a double edge sword for me as I have rentals:)
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