Average age to buy first home in US now 33

By
Real Estate Broker/Owner with Route 56 Realty

Getting married, owning a home, and starting a family is the American dream right? Well, for some, owning a home will continue to be just a dream as the US homeownership rate is the lowest it’s been since 1967. According to data from the Department of Commerce’s Census Bureau, the US homeownership rate has been steadily dropping since 2009 and hit 63.4% in the second quarter of 2015. So what’s causing this decline in homeownership? There’s one thing not to blame – millennials.

Although they may be somewhat contributing to the issue, as 50% are renters in the current strong rental market according to a report done by Urban Land Institute, almost all expect to own a home eventually. Those aged 34 and younger are buying homes, as married couples (65%), unmarried couples (14%), single females (12%), single males (8%), and other combinations (1%). This lack of traditional household formation indicates that being unmarried isn’t keeping millennials from buying homes. Furthermore, a study conducted by the National Association of Realtors shows that millennials do a good amount of research before starting the home buying process. Forty-four percent looked online as the first step in their process, 17% looked online for information about the home buying process, 10% contacted a real estate agent, and 10% talked to a friend/family about the process. 
 

Comments (4)

Kevin J. May
Florida Supreme Realty - Hobe Sound, FL
Serving the Treasure & Paradise Coasts of Florida

Susy, ealier today my thoughts turned to single female buyers and attempted to find a demographic for their past purchasing prowess by age group. I know they've been outpacing males for quite a while now and this 34 and under group is no exception. Thank you for providing a source and a small glance into this favorable trend. GO Ladies!   

Aug 18, 2015 07:27 AM
Troy Erickson AZ Realtor (602) 295-6807
Good Company Real Estate - Chandler, AZ
Your Chandler, Ahwatukee, and East Valley Realtor

Susy - It seems to be a combination of things contributing to people waiting longer to buy a home. I have heard that millennials are supposedly going to buy a lot of homes here in the next 5 years or so.

Aug 18, 2015 08:26 AM
John Pusa
Berkshire Hathaway Home Services Crest - Glendale, CA
Your All Time Realtor With Exceptional Service

Susy - This is very good report on average age of first time home buyers.

Aug 18, 2015 09:15 AM
Inna Ivchenko
Barcode Properties - Encino, CA
Realtor® • GRI • HAFA • PSC Calabasas CA

I just heard that since the start of the recovery (in 2010), the share of 18–34 year-olds who are living at home has, in fact, increased. According to the latest figures, about a third of Millennials are sharing living quarters with their folks.

Sep 24, 2015 04:37 PM