Millennials. While not a foreign word to HousingWire, Zillow Chief Economist Stan Humphries today perfectly nailed how millennials play into housing in just 140 characters nine times.
Aside from 5 ways to capture the millennial markets, using communication tips and online resources.
Or the fact that a recent study from TransUnion showed that millennials are better at paying their mortgages, posting the lowest mortgage delinquency rate, falling to 2.34% at the end of the second quarter.
Millennials one day will buy a home.
Looking at historical trends, the share of adults living with their parents drops sharply after age 24 and continues to fall to 6% by the mid- to late 30s.
“Much of the sluggishness of household growth in fact relates to lower headship rates among this age group—driven not only by a slowdown in immigration but also by the increasing share that continue to live in their parents’ homes,” a report from the Joint Center for Housing Studies of Harvard University.
“Regardless of the economic setbacks they may have experienced, today’s 20–29 year olds are still likely to follow the same pattern,” it added.
But Humphries simply puts it best in these 9 quick tweets.
1: Homeownership is falling, down to 64.7% in Q2 http://t.co/eWYOsU7w9q Why, and why does that matter? #ZillowResearch
— Stan Humphries (@StanHumphries) September 5, 2014
2: One reason for falling homeownership rate: Huge number of foreclosures. ~5-7 Million foreclosed upon since 2007 #ZillowResearch
— Stan Humphries (@StanHumphries) September 5, 2014
3: Additionally, first-time buyers aren’t entering market. 43% of buyers historically were 1st-timers, now down to 30%. #ZillowResearch
— Stan Humphries (@StanHumphries) September 5, 2014
4: This is partly bcs millennials wait longer to buy. Experts: first-time buyer age will rise from 31 #ZillowResearch pic.twitter.com/AdFv38pnjL
— Stan Humphries (@StanHumphries) September 5, 2014
5: This will lead to a lower homeownership rate. Experts expect it to keep falling #ZillowResearch pic.twitter.com/LkETe9Ehzv
— Stan Humphries (@StanHumphries) September 5, 2014
6: Rate should rebound long-term, if millennials have same prefs, just at older age http://t.co/DQx6DdzdK1 #ZillowResearch (h/t @JedKolko)
— Stan Humphries (@StanHumphries) September 5, 2014
7: Millennials may miss todays low rates/high affordability. Experts: home values to rise 20% by 2018 #ZillowResearch pic.twitter.com/ha7esTrLgN
— Stan Humphries (@StanHumphries) September 5, 2014
8: So, are today's millennial renters missing deal of a lifetime? Not necessarily. Moves are more frequent at younger ages. #ZillowResearch
— Stan Humphries (@StanHumphries) September 5, 2014
9: Even if millennials do buy at todays rates/prices, theyll likely re-enter market in coming yrs at higher levels anyway #ZillowResearch
— Stan Humphries (@StanHumphries) September 5, 2014
