Home Buying Demographics:
Who is driving the super-hot demand in housing right now? The answers are found in the newly published National Association of Realtors 2018 Home Buyer and Seller Generational Trends.
Millennials are now buying more homes than any other group with thirty-six percent of all home purchases were made by that generation over the last year. That makes millennials the most active generation in home buying for the fifth straight year. Gen-Xers ranked second at 26%, followed by younger and older baby boomers at 18% and 14%, respectively. The silent generation – those born between 1925 and 1945 – accounted for 6% of homebuyers over the last year.
Here are some more important statistics from the report:
First-time buyers made up 34 percent of all home buyers, a decrease from last year at 35 percent. Sixty -five percent of buyers 37 years and younger were first -time buyers, followed by buyers 38 to 52 years at 2 4 percent.
Sixty-five percent of recent buyers were married couples, 18 percent were single females, seven percent were single males, and eight percent were unmarried couples. The highest percentage of single female buyers was found in the 72 and older age group. The highest share of unmarried couples were found in the 37 and younger age group.
The most common reasons for recently purchasing a home differed between the generations. For all three groups under the age of 62 years, the main reason for purchasing was the desire to own a home of their own. Among the 63 and older age groups, the desire to be closer to friends and family was the top reason to purchase at 25 percent. Buyers between 72 and 92 years also purchased for the desire for a smaller home at 19 percent.
Overall, buyers expect to live in their homes for a median of 15 years, while 18 percent say that they are never moving. For buyers 37 years and younger, the expected length of time is only 10 years compare to 20 years for buyers 53 to 62 years.