Millenials Changing B-N "First Home" Market | WGLT

Millenials Changing B-N "First Home" Market

Dec 28, 2016

Credit Staff / WGLT

Millenials are changing the definition of "starter homes" in the Twin Cities. That's according to Bloomington-Normal Association of Realtors President Ed Neaves. 

Neaves said the traditional "first home" market sits at around $90,000 to $130,000. He said a large percentage of millenials are spending between $100,000 to $280,000 on their first home. 

"They demand and want amenities that require that type of investment to get solid surface counter tops, granite, courts, three car garages," said Neaves.

Neaves said millenials are waiting longer than usual to purchase their first homes. He said the combination of lower entry level jobs, student loan debt, and not having money saved for down payments can cause this delay. 

Neaves also said unlike earlier generations, some millenials wait to have families before buying their house.

"When they are starting to start a family there is a necessity to have three or four bedrooms. But when that three or four bedroom property is purchased, it's also purchased with more amenities."