More than three quarters of millennials want to tie the knot before they buy a home.
According to a recent report from Lending Tree, 76% of potential millennial homebuyers want to get married before they buy their first home, while 24% would prefer to own a home first. However, some are delaying other life plans until they buy their first property, 27% are waiting to have a child until they own a home, 22% are delaying getting a pet and 17% are delaying changing their job.
Beyond life goals, there are a few other things postponing homeownership for many millennials. Only 26% have the required paperwork for a mortgage application and an additional 26% reported they have poor credit. Also, 32% reported that their low income has deferred them from purchasing a home, while 27% said they don’t have enough in savings to buy their first home. Credit card debt (42%) and student loan debt (27%) continue to be an issue for many millennials, impacting their ability to own a home. More than 60% said mortgage interest rates are too high for them to afford.
However, once millennials are ready to buy their first home, more than half said there is a shortage of homes they could afford for sale in their community. The majority of millennials want to spend $150,000 or less on their first home, and 85% said they would purchase a home that needed work to save money. However, nearly half of buyers want to live in their first home for at least 16 years.