Generation Y is Entering the Homebuying Scene
Generation Y, also known as the millennials, are currently entering the home buying scene and how they will change it remains to be seen. Studies have shown that the past decade has made generation Y extremely skeptical of carrying debt and more financially responsible than their predecessors. This means that generation Y is not likely to over extend themselves the way prior generations did, and they are more likely to avoid getting loans until they can truly afford them. They may also be reluctant to buy more house than they need. However, they may also be reluctant to get into the real estate market at all, since one of the reasons they are frugal is because of decreased job stability.
Due to the fact that generation Y is more frugal than other generations they may actually tend to avoid highly priced metropolitan areas such as certain areas of California. The trend may see that this generation will be moving outwards and finding other locations that are less expensive than the major metropolitan areas but still offer a good variety of features.
For more information about what Generation Y might mean to the real estate industry or real estate in the Santa Barbara area contact Karen Spechler.