Millennials have been doing things a little differently than their predecessors – and homeownership is no exception.
A report from Bank of America revealed that the millennial generation is now prioritizing homeownership over other major milestones – i.e., starting a family.
The report shows 72% of millennials are prioritizing owning a home, compared to the 50% prioritizing marriage. These millennials associate homeownership with financial success and personal achievement.
Although taking longer to approach the housing market, 38% of millennials are now looking at planning on buying a future home within the next two years.
While this is an exciting time for the real estate market, there still seem to be misconceptions floating around on what needs to be done in order to purchase a home. 49% of millennials believe that a 20% down payment is required to buy a home; 43% believe they have to use a private mortgage insurance if they can’t put 20% down; and 24% feel as though they need to have a prefect credit score to be considered for a mortgage.
While all homeowners should shoot for a perfect credit score and a 20% down payment, it isn’t a requirement – and there are plenty of options and opportunities to purchase a home if they talk with their bank.
So, it seems as though for now – the “I do’s” will have to wait until the keys are handed over.
If you’re one of the many looking to purchase a home, ask your realtor to use AmeriTitle to close on your next transaction.