How Millennials are Valuable to Our Community

Lately there’s been a lot of chatter about who’s buying homes and who’s not.  There are a lot of claims that millennials are on the list of non-buyers. I'm going to disagree. But to set the stage, here are a few of the reasons analysts claim this is the case:

• They saw the instability of the recessions from a childhood perspective having watched their parents go through job loss, foreclosure, etc. If it didn't affect their family directly, it happened to someone they know
• They’re saddled with a lot of debt. Having (over)paid for college, their student loans have been restrictive in allowing them to save for a down payment
• They don’t mind living with their parents. The stigma of living with your parents after college is gone, as this has become rather typical. And if they don’t live with their parents, many are ok with having roommates to share expenses.

• They want easy transportation access. This can mean walkability, bikeability, or even easy access to major commuter routes and mass transit.
• They don’t want large houses.  They want low maintenance homes and yards.

However, here in the Baltimore metro market I think we’re seeing something different from the claims above.  In the last six months I’ve had the pleasure of working with multiple millennial buyers and here are some things to be added to the picture:

• They recognize what happened during the recession but many know that if they’re financially prudent then they can hedge against potential financial crisis.
• While millennials may have a lot of debt, many parents are willing to help with the cost of a home purchase by providing the down payment or even contributing to monthly mortgage payments. Interestingly enough, this also seems to drive the price range up for millennial purchasers. With the parents having a say in which home they will contribute to, they want to ensure their kids are living in a quality home. That means even though their child was comfortable in the $250,000 price range, mom and dad might end up pushing them toward the $300,000 price range and contributing the difference to keep the mortgage reasonable.  Parent contribution is a big factor in determining the purchase timeline and price range.
• The rest remains true. They want accessibility and convenience without a lot of maintenance. Sounds reasonable enough to me!
• They also really value community--they want to patronize local businesses, farmers markets, attend local events. And enthusiasm for your community can drive home values UP! Everyone wins!

Why do you want to know this? Because many homes in Catonsville and surrounding areas check quite a few of these boxes. The area offers a range of housing styles and prices that fit a variety of budgets.  We have a great walkable downtown, easy access to highways, lots of recreational opportunities, and a great community feel. 

So, say hello to those young people moving in next door! Take a selfie with them! And, be sure to share all the great features of your neighborhood with them!

Thanks for reading! Please comment if you found this interesting or useful.