Gen Z: The Next Generation Is Making Moves in the Housing Market
Generation Z (Gen Z) is ready to put down roots and gain financial independence. As a result, they’re turning to homeownership. According to the latest Home Buyers and Sellers Generational Trends Report from the National Association of Realtors (NAR), 30% of Gen Z buyers transitioned from living under their parent’s roof to owning their own homes.
Are you a member of this generation? Are you interested in pursuing your dream of homeownership? The information below will help you understand why and where your peers are buying.
Why Do Gen Z Want To Become Homeowners?
A recent survey by Rocket Mortgage pinpoints some of the leading motivators driving Gen Z buyers to consider homeownership:
“Of those surveyed, 34% said that starting or growing their family was their main motivation to buy a home. . . . Along with growing a family comes establishing a home base.”
In addition, this survey states that Gen Z wants to purchase a house because homeownership can offer more stability (20.8%). Why is this the case? Buying a home stabilizes what’s often your most significant monthly expense: housing cost.
When you have a fixed-rate home mortgage, your monthly payment locks in for the duration of your loan. This can often be up to 15 to 30 years. Renters don’t have this same benefit and won’t be protected from increasing housing costs.
Are you ready to start a new chapter in your life? Maybe you’re craving more stability? Know that your peers feel the same way, and many are turning to homeownership.
Gen Z’s Next Stop: Where Are They Making Their Moves?
If you feel prepared to search for your new home, looking at where your peers are moving can help you find your perfect home. According to a recent Lending Tree survey, Gen Z buyers are concentrating on more affordable areas to help expand their buying power and counteract the challenges of the current mortgage rates.
Gen Z buyers often enjoy the convenience and excitement of city life, but don’t want to sacrifice the affordability and open space more suburban areas offer. Jacob Channel, Senior Economist at LendingTree, explains: “. . . they want to live in a city, but they also want to be close to nature.”
Did you know that working remotely can help you cast a broader net for your search? Our Just Say Home team real estate experts are deeply connected in the Kansas City area and can help you locate a home that meets these values. Our trusted real estate agents are equipped with valuable information to walk you through the homebuying process, such as the most affordable neighborhoods and locations with amenities and features that align with your goals.
Are you a Gen Z member just starting your homebuying journey and want to learn more about the process? Our Just Say Home real estate team is ready to help you find your perfect home that fits your lifestyle and budget!