“While millennials are often stereotyped as adolescents, the reality is that this generation is well into adulthood — with most between their early 20s and mid-30s. This means that many of them are actively pursuing careers, having children and buying homes.” - LendingTree
While behind previous generations’ homeownership rates at their age, Millennials are starting to buy homes by the droves.
And rather than flocking to urban meccas like New York City, Los Angeles or Chicago, they’re opting for homes in a variety of cities closer to the center of the U.S., according to a report from LendingTree.
The company analyzed new requests made on its website between January and November of 2018 and found that nearly one-fourth of all mortgage purchase requests in this period came from Millennials.
“While Millennials are often stereotyped as adolescents, the reality is that this generation is well into adulthood — with most between their early 20s and mid-30s,” LendingTree wrote in its analysis. “This means that many of them are actively pursuing careers, having children and buying homes.”
Where Are They Moving?
Among the surprising results, Salt Lake City, Minneapolis and Pittsburgh have the highest percentage of Millennials seeking homeownership, as roughly 50 percent of all purchase requests in those cities came from folks born between 1981 to 1997.
Salt Lake City, Louisville, Ky. and Cincinnati are the metros with the lowest average age of buyers under 35, according to LendingTree. In these areas, the average age for potential millennial homebuyers is about 28 years old. And despite Salt Lake City’s average down payment amount being higher than the national figure, the average age of the total population in the area is among the lowest in the country.
Buffalo, Denver, St. Louis and Kansas City were the next most attractive locales for Millennials.
Where Are They Avoiding?
Tampa, Las Vegas and Miami have the lowest percentage of Millennials looking to buy homes, as roughly 30 percent of all purchase requests in those cities came from the age group. San Francisco, San Jose, and New York are where they wait the longest to buy a home, with an average age at the time of purchase request was nearly 30 years old.
For a more detailed breakdown of the cities where homebuying Millennials are headed, check out the table below.