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Newsweek
For a large number of millennials, the generation born between 1981 and 1996, the time to buy a home has never been quite right.
Waiting for a better, cheaper time to buy a home, in 2022 millennials brought up the average age of a first-time buyer to 36, according to the National Association of Realtors®, from 33 in 2021.
It's not all doom and gloom when it comes to millennials taking over the housing market. According to a recent NAR study, the increase in homeownership among millennials comes with an increase in homeownership among minorities. Over the next five years, according to the NAR report, released on February 13, 1.5 million Black households are expected to turn the median homebuying age, at the same time as 775,000 Asian households and 2.2 million Hispanic households.
"Millennials and Generation Z are more racially and ethnically diverse. While all first-time buyers are facing challenges in entering into homeownership, as more young buyers enter into the homebuying market, there will be a rise in minority owners," Jessica Lautz, deputy chief economist and vice president of research at NAR, told Newsweek.
In 2022, according to the NAR report, there were 10.5 million more homeowners than 10 years before, with all ethnic groups having increased their homeownership rates. Asian Americans increased their homeownership rates by 6.1 percent between 2012 and 2022, while Hispanic homeownership grew by 5.4 percent. White homeownership increased by 3.1 percentage points, while Black homeownership rose by only 1.6 percent.
