How about Gen-X homebuyers? 

How about Gen-X homebuyers? 

America is famously youth-obsessed. Every few decades, we obsess over the next wave of young people, the new “it” generation. We talk about how they will change the world, drive trends, buy lots of stuff, and propel the economy. Take a look at the daily news headlines: “how Millennials spend their money”, “where Millennials want to work”, “what will Millennials watch this fall”…it goes on.

But how about Gen-Xers? They used to be the media darling. Sandwiched between Baby Boomers and Millennials, and with a smaller head count, are Gen-Xers the forgotten generation? We thought we would devote this week’s trend post to the former “slacker generation” that is making positive waves in housing today.

The Nomadic Millennials

The Nomadic Millennials

Millennials do not want to live in the same white picket-fence house for 40 years – it’s fair to say this is something that has been safely established. But a few recent reports and the latest ValueInsured Modern Homebuyer Survey provided new insights that shed more lights on this next-generation cohorts, their priorities, and how that may affect their plans to become homeowners.

Debunking the myth of Millennial homebuyer pessimism

Debunking the myth of Millennial homebuyer pessimism

We have all read the headlines: Millennials feel pessimistic about their future; Millennials are the gloomy generation. But according to the latest quarterly Modern Homebuyer Survey by ValueInsured, Millennials reported to be rather upbeat, at least when it comes to their outlook on the American housing market and their prospects of achieving the American Dream.

The results are rather jarring. In all measures, except one – more on that later – Millennials surveyed in the research appear more optimistic than their Gen-X and Baby Boomer counterparts. In the survey conducted in January 2017, Millennials were more likely to think the current American housing market is healthy, and more likely to believe buying a home today is a good investment (even when they are less likely to currently own a home compared to the Gen-Xers and Baby Boomers surveyed). Interestingly, despite more likely to be renters and to prefer a more nomadic lifestyle, Millennials in the survey are more likely to believe buying a home is financially more beneficial than renting. Here are samples of Millennials’ relative optimism regarding our current housing market

Newspaper Media Group - The young American dream

Newspaper Media Group - The young American dream

As seen in syndicated newspapers

According to a pair of new studies, Millennials’ disinterest in owning a home is a myth

By Erik J. Martin
CTW Features

Don’t believe the hype. Contrary to popular belief, the vast majority of Generation Y, better known as Millennials, want to own a home, and most actually do, new data suggests. That’s good news for boomerang parents whose twentysomething-aged offspring moved back home in recent years due to the economic downturn.

As home prices heat up, so does concern for housing stability

As home prices heat up, so does concern for housing stability

It has been 10 years since the great American housing crisis that began in 2006 and came to a halt in 2008. In the past decade, best-selling books, Academy Award-nominated film and countless business school lectures have been devoted to dissecting what happened and how to avoid a repeat of history. During this period, 10 million families who lost their homes due to foreclosures and many more affected by the crisis struggled to rebuild their life and their financial credits. It has not been an easy recovery for the housing industry and for many homebuyers.

Since 2008, federal regulations were put in place, mortgage practices – especially but not limited to subprime lending – have been tightened considerably, and home prices came back closer to earth in many markets. Well, prices were closer to earth, until recently.

The M Report - Serving a New Kind of Buyer

The M Report - Serving a New Kind of Buyer

As seen on The M Report

By  Rachel Williams - We sat down with industry veteran Joseph Melendez to learn how changing buyer demographics, technology, and the new administration are shaking things up. Melendez is the CEO of ValueInsured, a down payment protection provider based in Dallas. He has more than three decades in the insurance and financial services industry.

Is the housing industry ready for this next generation of homebuyers?

Is the housing industry ready for this next generation of homebuyers?

Forecasts on their massive influence aside, is the housing industry ready for this next generation of homebuyers? Just as Millennials are different moviegoers than their parents, they will be different homebuyers. One of the starkest differences: Millennials shop for their homes differently. According to the National Association of Realtors, 99% of Millennials search online when shopping for a home. They are twice as likely as their parents’ generation to use a mobile device to look for a home. In fact, nearly 6 in 10 Millennials (58%) reported to have first found the home they eventually bought on a mobile device.  

Millennials also live and plan to own their homes differently than their parents. The average Millennial job tenure is 2.8 years. They make up 43% of all movers. But, many young people have moved throughout history. Do Millennials plan to settle down once they buy a home? One can expect they should, but they aren’t likely to own the same home for 30+ years as many in their previous generations do. According to the ValueInsured Survey, while “owning my own home” remains – just like for their parents – the top personal definition of the American Dream for Millennials, two other popular answers are “having the freedom to pursue opportunities wherever they are” and “being able to move and live wherever I want”.

Other latest findings that indicate Millennials may be a generation on the move include..

How can first-time homebuyers afford to buy in this heated market? Ask your parents.

How can first-time homebuyers afford to buy in this heated market? Ask your parents.

This may be what the gold rush felt like, except it is now a rush to buy homes. We keep hearing housing demand is high, inventory is tight. Some headlines even describe homebuyers as "panicking" to rush to buy homes, or rushing to lock in low rates. Yes, if you have been paying attention to recent reports, you may have seen the word “rush” used frequently when describing today’s home buying activities.

However, while many first-time home buying hopefuls wonder how they can save enough to buy at today’s sky-high prices, some may at the same time notice their own parents are selling. Baby Boomers are downsizing, and many are making bank.  And they can help...