Rate of millennials owning homes rising, including in Bham

Rate of millennials owning homes rising, including in Bham

The millennial generation continues to buy homes at a lower rate than the previous generations, but has finally reached the 50% homeownership mark in America.

Rent Cafe reported that millennials now make up 51.5% of homeowners, making them a minority.

This demographic is about 81,000 people in metro Birmingham. Renter share has decreased by 4.1% since 2005.

Rena Cottrell is a broker and agent at EXIT Elite Realty, located in Hoover. She said that she sees more single millennials buying homes than families.

She said that many of these people are returning to Birmingham. However, the properties they have purchased for residential purposes include a wide range of different types of properties.

Local millennials buy condos, renovated houses and storefronts where they can convert the space in creative ways. The living room in their home could be used as a gaming room, or as an office for those who work from home.

Cottrell: 'Millennials are very innovative ...,'. At one time, people were moving out to the suburbs, but now I see millennials returning to the city. These aren't permanent homes; they are investments. They might flip it or rent it with roommates. The residential market is for them more than just a house.

Some millennial families, however, are moving in the opposite direction. They're opting to relocate outside the city, to rural areas that offer more space and land, says Jerica Mabry, a realtor at Vinson & McCord Realty, in Hoover.

She said that not many downtown homes offer the space that families of millennials need. However, they are creative in using the extra land to create gardens and farms.

Mabry stated that a lot of millennials who have bought land have not yet settled in. Mabry said that many millennials are saying, 'this is my dream home' but they may not be in it forever.