Demographers and economists constantly debate housing market trends, but one thing the two sides have recently agreed on is that Generation Y could be moving to the suburbs, The Wall Street Journal reported.
Generation Y is typically casted for those born in the 1980s and 1990s, which means this group is heading into their mid-to-late 20s and early 30s. For some of those in this particular group, they might be strongly considering purchasing a home in the suburbs and finally move out of city living.
Keeping city life close
According to the Journal, young urban residents simply want to be close to entertainment, public transportation and their workplaces, but at the same time, they don't mind small living spaces.
However, a survey from the National Association of Home Builders reached out to 1,506 people born since 1977 and discovered the majority of respondents want to move to a single-family home on the outer limit of an urban center. This survey included those who currently reside in the city.
"While you are more likely to attract this generation than other generations to buy a condo or a house downtown, that is a relative term," Rose Quint, assistant vice president of NAHB's research, told the Journal. "The majority of them will still want to buy the house out there in the suburbs."
Trying to get the best of both worlds
According to The American Interest, those in Generation Y still want to be associated within sociable and intellectual areas and could feel more disconnected while in a suburban community.
On the other hand, many of those in Generation Y realize they can't have the best of both worlds and are beginning to choose the suburbs because of the affordability, additional housing options and closeness to work and mass transit, the National Association of Realtors reported.
"The preference for the suburbs suggests that future demand will be in the form of single-family homes rather than condominiums more prevalent in cities," David Berson, chief economist for Nationwide Insurance Co., told the Journal. "That's also good news for future suburban single-family sellers, many of whom are baby boomers."
With the possible rush for Generation Y to move to the suburbs, it's critical to get the best financial help when buying a home. Those interested should reach out to on of our mortgage bankers to discuss all the possibilities of owning a new home.
For more information about smart ways to manage your finances, contact Landmark Bank.
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