Posts Tagged ‘renting’

Meet the Next Generation of Homebuyers: Gen Z

Posted on October 13, 2017 by Laura Lam

In its most recent study, Zillow Group examined the newest generation to enter the housing market – Generation Z.  Generation Z is considered to be those born from 1995 to 2010, meaning the oldest in the generation are now 22 years old.  The Zillow Group Report on Consumer and Housing Trends 2017 shows this new generation now makes up more than 21% of the U.S. population, and is the most ethnically and racially diverse generation in our history. They are beginning to enter the housing market – as renters. However, this generation is just as likely as older generations to…

Millennials Over-Extended and Frustrated with Home-Buying Process

Posted on October 04, 2017 by Laura Lam

Millennials poured some $514 billion into the U.S. housing market over the last year as the largest generation of home buyers, Zillow reported.  But new survey data shows their home-ownership aspirations are stymied by affordability issues, frustration with the buying and selling process, and a cutthroat housing market. More than half of young buyers (53%) make multiple offers to buy their first home, and only 2 in 5 millennials (39%) are able to make the recommended 20% or more down payment.  The results of the Zillow Group Report on Consumer Housing Trends 2017 show how the nation’s highly competitive housing…

Renters Finally Turning Toward Homeownership

Posted on May 04, 2017 by Laura Lam

The homeownership rate has been on the decline ever since the peak of the housing bubble a decade ago.  However, last month, the Census Department said American home ownership was 63.6% in the first quarter, down a bit from the fourth quarter of 2016, but up from a year ago, which is economists’ preferred way to gauge the data. According to Trulia Chief Economist Ralph McLaughlin, the number of owner-occupied households rose more quickly than renter households for the first time since 2006. The number of new owner households was up 850,000, compared to a 365,000 increase in the number of…

Longest Time to Break Even on a Home?

Posted on June 21, 2016 by Laura Lam

It takes nearly 4 years to get to the point where it makes more sense to buy than rent a home in San Diego County, the longest time of any metro area in the nation, according to a recent Zillow study.  The real estate website ranked the top 35 metro areas for the time it takes to hit a break-even point – the number of years you need to own and live in a home until it becomes more financially advantageous than renting the same house. The average for the nation, in the first quarter of this year, was 1…

Multi-Family Boom Busts Renters’ Wallets

Posted on February 02, 2016 by Laura Lam

The booming multifamily mortgage market has risen to new heights, passing the lofty $1 trillion mark. But while that may mean flourishing times for apartment lenders, increasing demand may not translate into good times for renters.  Apartment mortgages outstanding hit $1.02 trillion at the end of the third quarter of 2015, according to the Mortgage Bankers Association.  That number was up a hefty 2% in one quarter, rising $19.3 billion from the end of the second quarter. It was the highest level since MBA started tracking commercial and multifamily mortgages in 2007. It’s no secret what’s fueling the increasing demand…

Housing Costs Eat Up 50% of Some Renters' Income

Posted on May 07, 2015 by Saldutti

According to a recent analysis of Census data by Enterprise Community Partners, more than 1 in 4 U.S. renters have to use at least half their family income to pay for housing and utilities.  The number of such households has jumped 26% to 11.25 million since 2007.  Since the end of 2010, rental prices have surged at nearly twice the pace of average hourly wages, according to data from Zillow and the Labor Department. “It means making really difficult trade-offs,” said Angela Boyd, a vice president at Enterprise Community Partners. “There are daily financial dilemmas about making their rent or…

Homeownership Out of Reach for 33% of Americans

Posted on May 06, 2015 by Saldutti

Home affordability among the least affluent third of Americans has worsened sharply over the past two years, as the housing market has recovered but incomes have not.  The disparity has placed homeownership increasingly out of reach for working Americans whose wages are lowest, even if they shop for the least expensive homes on the market. Worsening housing affordability for the lowest earners comes as rental housing is less affordable than ever, forcing those who can’t afford to buy to face rapidly rising monthly rent payments. Zillow’s latest analysis of how affordability has affected different wage-earning classes found that, while affordability…