A recent national survey shows that while almost two-thirds of millennials feel they don’t have enough for the typical down payment for a home, more than half plan to be homeowners within two years.
The survey by Carrington Mortgage Services, LLC (Carrington) and OnePoll found that 64 per cent of millennial respondents think their biggest obstacle to buying a home was a sufficient down payment.
“Early signs indicate that 2015 might see a surge in home purchases overall, and particularly with first-time buyers,” says Ray Brousseau, executive vice president of Carrington Mortgage. “According to data from Redfin, in the week of January 12, 57 percent of the home tours conducted by its agents were for first-time homebuyers, a significant increase from the 48 percent seen in the same week in 2014 and the highest rate recorded since the end of 2012.”
Despite available capital being a hurdle, the survey conducted in April 2015 of 2,000 millennials found that 55 per cent plan to purchase a home within two years, a statistic that may have been triggered by the reduction in mortgage insurance premiums (MIPs) announced on January 8 by the Department of Housing and Urban Development.
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