The Millennial Complex: They Want To Buy Homes But Are Struggling To Save
As millennials age, many have become interested in homeownership, but are unable to afford a down payment.
A new Apartment List survey said almost 70% of people between 18 and 34 years old have less than $1K set aside for a down payment, and 40% said they are saving nothing each month, the Wall Street Journal reports. But that does not mean millennials are uninterested in homeownership; 80% of those surveyed said they do want to buy a home, but 72% said they cannot afford it.
Student loan debt and rising rents are exacerbating the problem, making it hard for millennials to save for a down payment. The survey said over the next three years less than 30% of older millennials, people between 25 and 34 years old, could save enough for a down payment. While the numbers paint a bleak picture for aspiring millennial homeowners, Apartment List director Andrew Woo said it is encouraging that young people are interested in homeownership, even if they cannot afford it just yet.