With a growing market of Millennials considering purchasing homes for the first time, there are a few obstacles in their way. It is no surprise the economic recession, nearly a decade ago, impacted the housing market on a huge scale. For several years construction halted, mortgage laws fluctuated, builders were put out of business and as a result the inventory of homes slowed down.
For the most part our country is currently in a healing phase and more construction is taking place to fill the needs of the next generation looking for home ownership.
Within the group of millennials, more families are beginning and ready to search for their new custom homes, while there is also a large percentage of single millennials looking for homes, and because of inventory and other factors, in some cases it may prove more financially feasible to rent than to purchase a home. The price of homes continues to rise and has been on an upswing for the past few years, this is resulting in many people looking for nice homes within good school districts they can rent and as a result many builders are moving away from building apartments and instead focusing on building homes or refurbishing homes to rent out.
In some areas of the country, neighborhoods designed to meet the needs of renters are popping up and companies like American Homes 4 Rent are setting the stage to fill the gaps for homeownership by developing full neighborhoods of rentable homes as an alternative to the apartment lifestyle.
Because of the current proposed tax bill changes, mortgage interest deductions and property tax deductions are just a few ways that lives and the way they are maintained is being changed. Homebuyers need to be aware of these new changes so they are protecting their investment while still able to maintain the lifestyle they choose to live. The good news is that interest rates are still hovering below 5% and this helps with the overall monthly payments people are looking to fit within their budget.
Home ownership is still the way to go for many single and millennial families and making sure your investment is protected in a market that is ever-changing is an important factor to consider when planning to build your custom home. Understanding these obstacles and learning to maneuver around them to gain home ownership is achievable.
Discussing options with your builder to help you secure a piece of the American Dream and provide a home for you and your family to enjoy for years to come can start with a simple plan search, finding the perfect plan for your dreams.
To learn more about obstacles millennials are facing in today’s housing market and create a plan for homeownership, visit us at AmericasHomePlace.com