Skip to main content

A Third Of Millennials Saved Up During The Pandemic To Afford A Downpayment On A Home

May 25, 2021
Photo of the corner of a stack of $20 bills.

According to a survey released by Redfin, nearly one-third of millennials were able to save enough money throughout the pandemic to afford a downpayment on a house. Nearly half (48%) were able to save money directly from paychecks to make the down payment. Other common methods include: saving money through the pandemic (31%), working a second job (27%), cash gifts from family (20%), and selling stock investments (19%).

Due to pandemic-driven shutdowns, folks have not been able to eat out, travel, or attend in-person events, allowing them to save money. According to the Federal Reserve Bank of St. Louis and the U.S. Bureau of Economic Analysis, the U.S. personal savings rate soared to 33.7% in April of 2020, up from 7.2% in December of 2019. In March, it remained at an elevated level, clocking in at 27.6%.

Further findings from the survey state 37% of all homebuyers are purchasing homes later than planned because of the pandemic, while 32% are buying a home quicker than they planned.

The growing popularity of remote work in the aftermath of the pandemic has fueled demand for spacious homes. It’s also encouraging people to branch out, and move to different areas. Although the rising prices and home supply shortage push some people to buy sooner, others pause or quit their search altogether.

Steven Majourau, a Redfin agent in Stockton, Tracy and other parts of California's Central Valley, said, “Roughly half of my clients are people moving to the Central Valley from the Bay Area because they want to live in a bigger home for less money, and a lot of them only need to commute into the city once or twice a week if that. They're selling a large condo or townhouse for close to $1 million--or a small single-family home for more than $1 million--in San Francisco, San Jose or the East Bay and buying a large house here in the Central Valley for around $700,000."

The most popular among homebuyer preferences (19%) is private outdoor space with plenty of living space, according to the survey. The second most popular is solely the desire for plenty of living space (18%), and third, privacy within the home from neighbors or passersby (17%).

Click here to read more from the report.

May 25, 2021
loanDepot And mellohome Introduce Home Services Bundle

loanDepot, Inc. and its sister company mellohome are launching a proprietary bundle of home buying and selling services.

Industry News
Jul 30, 2021
Gateway Mortgage Surpasses 165 Mortgage Centers With 10 New Additions

Gateway Mortgage reported significant growth in the company, prompting it to open 10 new locations across Colorado, Idaho, Oklahoma, Texas, Oregon, and Wyoming.

Industry News
Jul 30, 2021
FHFA Requires 30-Day Notice Prior To Eviction

Wednesday, the Federal Housing Finance Agency (FHFA) announced that tenants of multi-family properties must be given 30 days notice to vacate before the tenant is required to leave the premise.

Industry News
Jul 29, 2021
Houston-Based Stewart Acquires Title First Agency

Ohio-Based Agency Has 20 Offices And Operates in 32 States

Industry News
Jul 28, 2021
Planet Home Lending Reports Total Origination Volume Of $6.8B In Q2 2021

Planet Home Lending's total origination volume reached $6.8 billion in Q2 2021, up 77% from $3.9 billion in Q2 2020.

Industry News
Jul 22, 2021
FHFA Ends Controversial Refinance Fee

The FHFA announced that Fannie Mae and Freddie Mac will eliminate the Adverse Market Refinance Fee for loan deliveries, starting August 1, 2021.

Analysis and Data
Jul 19, 2021