How about some details on today’s Home Buyers and Sellers? According to NAR’s 2016 Home Buyer and Seller Profile.

•   First-time buyers: The typical first-time buyer had a higher household income ($72,000) than last year ($69,400). They purchased a slightly larger home this year (1,650-square-feet versus 1,620-square-feet in 2015) also a pricier home ($182,500 versus $170,000 in 2015).

•   Debt woes: 40% of first-time buyers are saddled with student debt, and 26 percent say that saving for a down payment was the most difficult. The typical amount of debt they owe is $26,000. 50% of first-time buyers said student loans delayed them saving for a home purchase. The median delay in saving due to student loan debt was 3 years.

•   Down payments: Down payment sizes have held mostly steady in recent years. First-time homebuyers came with a median down payment of 6 percent while repeat buyers tended to put 14% down. 88% of buyers financed their purchase (59% conventional; 24% FHA; 12% VA loans).

•   Buyer search resources: The most popular search resources buyers used for their house hunt were: online (95%), real estate agents (92%), mobile/tablet apps (72%), and open houses (50%). A record 51% of home buyers reported finding the home they purchased online. Still, 90 percent who used the Internet in their house-hunt still said they used a real estate agent to buy the home.

•   Home seller gains and motives: Sellers had a median equity gain of $43,100 (compared to $40,000 in 2015). That marks an average 24 percent increase over their original purchase price. More sellers opted to trade up (44%) compared to last year (42%).

•   Customer loyalty: Eighty-five percent of sellers said they would definitely or probably use their real estate agent again or recommend him or her to a friend.

What #Millennials want!

Millennials — folks born roughly between 1982 and 2004, are often characterized as self-centered, materialistic and super tech-savvy. I am not sure this is correct.
 
Unlike some generations, the millennial group doesn’t dream of retiring early to sit on a beach. They want to save up and spend money on the things that really matter to them. Millennials are very conscious and aware of their values.

They are not so aware of early retirement, they just want to have freedom and do not mind working longer to get closer to their goals. Money is their road to freedom. Their life is about more choices.

Millennials seem to be very entrepreneurial. They want the job they can enjoy. We may no longer see the days of people working at the same company for 30-40 years. Switching companies every few years is common for them, but most likely stay in the company they like.
They want to work for a company they believe in that aliens with their values.

Millennials want to make an impact on the world. When talking to this age group, they want to change the world to make it a better place for their future. They want to use their money to benefit the causes they care about.

The millennial generation is made up of a different breed of investors.  They want to buy homes in a smart way that fits their life style with a good location in mind and not to buy over their budget. They want to travel now, they do not want to be tied down to a job they hate that requires them to be on the clock 24 hours a day.

They seek independence and do not want too much responsibility at their age. They tend to buy townhouses, condos or 0-lot line homes that they may be able to sell in a couple years and move on.