Stephanie Bilane Talks Real Estate
This 4-bedroom, move-in ready, immaculate home is located in the Landstown area of Virginia Beach —near shopping, schools, recreation, sports complexes, and the hospital.
Anyone born between 1981 and 1996 is part of the millennial generation. For many years, millennials weren’t buying homes at the same rates as previous generations. In 2019, only 43% of millennials owned homes, which was well below the national average of 65% when taking every other generation into account.
Even though millennials were old enough to purchase homes in 2019 (23 to 38 years old), there are numerous factors that have caused this generation to avoid buying homes at the same rate as previous generations. However, 2022 marks a notable change in millennial homeownership.
What Kept Millennials From Buying Homes?
There are many reasons why millennials haven’t purchased homes at the same rate as other generations. Some of the primary factors that have contributed to less interest in homeownership among millennials include:
The financial challenges that many young adults have were exacerbated by the fallout from the Great Recession. Keep in mind that 40% of all unemployed individuals in 2009 were between the ages of 15-24 years old. The federal minimum wage has been at $7.25 since 2009 despite some states increasing their minimum wages. Even though the cost of living has increased substantially over the past few decades, median wages only grew by around 0.3% each year from 2007-2017. These factors combined to make it more difficult for millennials to buy homes.
Why Millennial Homeownership is Increasing
When the Federal Reserve dropped interest rates towards the beginning of the COVID-19 pandemic, buying a home became more appealing as a result of the reduced monthly payments. It wasn’t until 2022, however, that millennials started buying homes at a higher rate than anticipated. While only 43% of all millennials owned a home in 2019, this same age group has accounted for around 43% of homebuyers in 2022.
What this data tells us is that millennials are now the primary generation that’s buying homes. The vice president of demographics for the National Association of Realtors, Jessica Lautz, believes that “Some young adults have used the pandemic to their financial advantage by paying down debt and cutting the cost of rent by moving in with family.” By saving up money during the first two years of the pandemic, millennials who were in a poor financial situation before the pandemic may now be at a point where they can afford to buy a home.
Millennials are also aging into more financial security, with steadier jobs and higher incomes in their 30’s and 40’s. Rising home prices haven’t helped, but homeownership rates increase considerably when looking at millennials who are around the age of 40. An increase in remote work post-pandemic has also allowed more millennials and Gen Zers to move to smaller, more affordable cities and improve their homebuying prospects.
In the coming months, it will be interesting to see what happens as interest rates continue to rise. Even though housing prices have increased by nearly 19% since March 2021, this clearly hasn’t caused millennials to become less eager to become homeowners.
$570,000 | Listing Link
Beautifully maintained 4-bedroom, 2½ bath home in Chesapeake’s desirable Marsh Creek neighborhood. Grassfield School district. Nearby Shopping, Restaurants, and Interstate to Airport, Bases, Downtown Norfolk, and VB Town Center within minutes.
Have Your Home Pre-Inspected by a Professional Home Inspector
One of the most common reasons a home sale falls apart (or the closing is delayed) is problems uncovered during the home inspection. Typically, price negotiations will reopen, but if the problems are beyond the buyer’s budget, they may just walk away from the deal.
If you have your home pre-inspected now, you will have the advantage of avoiding unpleasant surprises in the middle of the transaction. Plus, you’ll have the rest of winter to get repair projects out of the way.
Get a Head Start on Curb Appeal
Most landscaping tasks will have to wait until spring, but if you have inside space and a sunny window, you can get a head start by growing your own flowers from seed. Just wait until after the last frost to plant them outside.
You can also consider touching-up any chipped paint on doors and trim, creating an outdoor seating area, or updating your front door hardware. Replacing a worn mailbox, installing new house numbers, and purchasing a new front porch doormat are more great ways to spruce up your curb appeal.
Declutter & Donate
If your home is overwhelmed with personal items, has closets bursting at the seams, and furniture blocking the flow, there is a clutter problem. Clutter sends the message to a potential buyer that your home lacks space and ample storage. Start the process now to rid your home of furniture, housewares, clothing, books, and papers that are no longer of use. It’s a win-win: you will have less to move and it will help sell your home.
Invest in Buyers’ Favorite Features
The National Association of Home Builders surveyed prospective home buyers and learned that the top two desired features in a home are a laundry room and exterior lighting. How to get started? For your laundry room (or nook or closet), take this opportunity to add function. Consider adding a shelf, storage cabinet, or a wall-mounted drying rack.
As your luck would have it, wireless lighting has come a long way thanks to advancements in power and power storage technologies. Does your home have a path that could some extra visibility? A side yard that could use a motion sensor light? Shine some light on those darker areas to delight prospective buyers.
346 White Dogwood Dr from Stephanie Bilane on Vimeo.
$1,000,000 | Listing Link | Video Link
This stunning, custom-built, all-brick home on a 2-acre lot is nestled at a cul-de-sac’s edge in Great Bridge’s desirable Chesapeake Colony Estates. Perfect family home is near 168 bypass, recreation fields, shopping, and entertainment. Award winning Great Bridge school district.
$680,000 | Listing Link | Download Special Features
This immaculate 4,129 SF, 5-bed, 4½-bath home is situated on a beautiful corner lot in the desirable Fieldstone community. This home offers a great location within Fieldstone — on pond, surrounded with lots of green-space & only 1 neighbor.
LOVELY PROPERTY IN A FABULOUS NEIGHBORHOOD
TECHNOLOGY FEATURES – IDEAL FOR MULTIPLE HOME OFFICES
INTERIOR FEATURES
A strong seller’s market is predicted. Buyers will have more opportunity to find the home of their dreams also forecasted.
Leading indicators, including research published from REIN and Housing Wire, point to 2022 being competitive. While the demand may be there, the inventory just isn’t what it was years ago. Realtor.com also weighed in with news more favorable to the buyer. They predict home buyers will have a better chance to find a home in 2022, but will face a competitive seller’s market as first-time buyer demand outmatches the inventory recovery.
If you or someone you know is considering putting their home on the market, Spring 2022 may be just the right time to take the plunge. But…start planning now! Contact me for a market analysis and guidance to ready your home to receive top-dollar offers. All consultations are no charge.
If you are ready to buy but you’re not sure what you can afford, check out REIN’s mortgage calculator to help estimate possible monthly payments. In a tight market, it is important to get your financial house in order ASAP and to start working with a realtor® ASAP. I can refer you to a trusted mortgage partner to guide you through the financing / pre-approval process so you can present the strongest offer for the home of your dreams.
The numbers tell the story!
Last year was indeed very busy. I had the great pleasure of guiding countless families buy and/or sell their homes in 2021.That’s over $8.6 million in real estate transactions — a new annual record for me. While surpassing my professional goals is extremely rewarding, I am more thrilled with the fantastic results I was able to achieve for all my sellers and the wonderful homes I helped secure on behalf of my buyers (especially in such a competitive market). Highlights of our 2021 numbers include:
Business Goals for 2022
I’m excited to apply the experiences from last year’s success and to continue building the valuable business partnerships in mortgage, legal, photography, videography, appraisals, inspections, and contracting spheres. The table is set to exceed this year’s numbers while still being personally involved in every transaction for my buyers and sellers.