According to CoreLogic’s Young Millennial Housing Survey (which was featured in their most recent Home Price Index report), 40% of millennials are extremely or very interested in purchasing a home now (with 64% consistently monitoring prices in their local market). But nearly three-quarters of millennials surveyed (73%) cited affordability as a barrier to homeownership—significantly higher than any other age group.
While affordability may be a challenge, the truth is that there are plenty of millennials out there who could purchase a home, but their misconceptions about what it costs to do that are holding them back. According to a recent survey from lender Laurel Road, 58% of Americans believe you need a 20% down payment to purchase a home—but with today’s flexible lending options, it’s possible to buy a home with very little down.
The TakeawayIf you’re a millennial who wants to buy a home—but don’t think you can afford it—start exploring your options. You might be able to purchase a home with less than you’d imagined and be able to transition to homeownership sooner than you thought possible.