Following a 10-year slump, the real estate market is improving for first-time home buyers — but even more important, first-time home buyers are improving for the market, said an expert in Virginia Tech’s Center for Housing Research.
“Many millennials have delayed buying a home for all kinds of reasons, some related to the market and some not, but they’re older now, more established in their careers and more attractive to lenders,” said Virginia Tech Research Scientist Mel Jones
Almost every major market in Virginia struggles with the starter-home market because incomes have not kept up with housing prices over the past 10 years. Some of the medium metros are better able to provide these opportunities, in part due to the market and in part due to their housing stock.
“The good news is we’re heading into a boom for this kind of product if construction can keep up because millennials and boomers, the two largest generations ever, are both demanding small, easy to maintain, conveniently located homes,” said Jones.
“The kind of housing people are looking for is changing. They value convenience above all else and they are looking for a home that is going to be their office and their entertainment venue also. Homes need to work for the residents more– people aren’t going to make their home their hobby like they used to and the homes are going to need to be technologically capable.”