A lot has been discussed overtimes about the homeownership in today’s world. It is one of the dreams and a major aspiration across a large population. While adults and old-aged people see it as an accomplishment and may often wait for the retirement to own a house, there is also a large section of the population for whom, owning a home is on the top of their priority list. Millennials are the most versatile section of the population and with far-reaching dreams and aspiration, they leave no stone unturned in discovering several industries and the loop and holes within them.
Due to the increased hurdles, the difficulties faced by the millennial generation in entering the real estate market are much higher. However, we see a significant number of millennial generations seeking to own a home for the first time. It is evident that in such a heavy and complicated transaction, they may struggle with certain things.
It is often seen that the owning a home early in their life is the biggest aspiration for millennials. However, a major part of this section of the population fails to do. This is because of the various hurdles that they encounter. Making a major financial decision such as owning a home needs a lot of planning and this is what the millennials may lack, along with other factors. Let us look at some important hurdles they have to struggle with.
One of the heaviest burdens on the millennial generation may be the student debts. It may be one of the major aspects that they are struggling with. Since the education fees have witnessed a great heap, seeking higher education is a lot more expensive nowadays than it was a few years back. For this reason, many people have to take a loan for studying in college and pursuing their professional courses. This incurs a heavy student debt upon them which acts as one of the biggest hurdles in owning a home for the millennials.
The down payment
One of the biggest struggles for the millennials may be saving for the high amount of down payment for the home. Many people lie in the age bracket where they have just started working and so they would require a certain time duration for saving such a big amount. Also, the rising cost of living poses a hurdle in saving for this cause.
Lack of planning
As said above, owning a home requires a lot of financial planning. Many millennials in today’s world may not have their finances sorted. Also, as the process of owning a home is not all that smooth and easy, they may also not find enough time to invest in research, meetings and site visits and so the decision of owning the home may be delayed further.
Sky-high prices of the property
Another major aspect is the ever increasing prices of the property. Most of the millennial generation which is educated and working resides in urban and metropolitan cities where the prices of property are increasing rapidly with advanced developments and techniques. This may disrupt the budget for owning a house and the idea may be pushed further and delayed.