Mobile header

Apply Now

  • Home
  • About
    • Locations
      • Mortgage Rates
      • Mortgage Lender
      • First Time Home Buyers
      • Living in San Diego
    • Blog
    • Contact
      • Apply Now
  • Loan Options
    • FHA Loan
    • VA Loan
    • Reverse Mortgage
    • Conventional
    • Loan Purpose
    • Resouces
      • Today’s Rates
      • Interest Rates & Their Meaning
      • How to Refinance
      • Mortgage Calculator
      • Home Loan Basics
  • Refinance
  • Purchase
    • Get Pre-Qualified
  • Testimonials
    • Media
  • Contact
    • Apply Now
    • Secure File Upload
 
 

San Diego Mortgage Broker 619-857-7191 | Mortgage Lender 92108

Helping San Diego Actualize Financial Freedom

  • About
    • Locations
      • Mortgage Rates
      • Mortgage Broker
      • First Time Home Buyers
      • Living in San Diego
    • Blog

      • Why Move to North Park, San Diego?
      • Why Credit Karma Scores Differ From FICO Scores
      • 5 Reasons to Move to Clairemont, San Diego
      • 5 Reasons to Move to Mission Valley, San Diego
      • Costa Verde Strip Mall Revitalization Project Approved
    • Contact
      • Apply Now
  • Loan Options
    • Loan Options
      • FHA Loans
      • VA Loan
      • Reverse Mortgage
      • Conventional
      • Loan Purpose
    • Resources
      • Today’s Rates
      • Interest Rates & Their Meaning
      • How to Refinance
      • Mortgage Calculator
      • Home Loan Basics
  • Purchase
    • Get Pre-Qualified
  • Refinance
  • Testimonials
    • Media
  • Contact
    • Apply Now
    • Secure File Upload

Set up your consultation now!

(619) 857-7191

Apply Now
  • About
    • Locations
      • Mortgage Rates
      • Mortgage Broker
      • First Time Home Buyers
      • Living in San Diego
    • Blog

      • Why Move to North Park, San Diego?
      • Why Credit Karma Scores Differ From FICO Scores
      • 5 Reasons to Move to Clairemont, San Diego
      • 5 Reasons to Move to Mission Valley, San Diego
      • Costa Verde Strip Mall Revitalization Project Approved
    • Contact
      • Apply Now
  • Loan Options
    • Loan Options
      • FHA Loans
      • VA Loan
      • Reverse Mortgage
      • Conventional
      • Loan Purpose
    • Resources
      • Today’s Rates
      • Interest Rates & Their Meaning
      • How to Refinance
      • Mortgage Calculator
      • Home Loan Basics
  • Purchase
    • Get Pre-Qualified
  • Refinance
  • Testimonials
    • Media
  • Contact
    • Apply Now
    • Secure File Upload
You are here: Home / San Diego Lender / Why Millennials Are Having Trouble Buying Homes

Why Millennials Are Having Trouble Buying Homes

September 3, 2014 by Maureen Martin

Why Millennials Are Having Trouble Buying Homes
There are many reasons why the millennial generation – young adults in their 20s and early 30s – are either having trouble buying a home or have decided to delay their purchase. Recent troubles in home purchasing have left many millennials feeling discouraged and wondering if they will ever become homeowners. Many experts are also worried about the lack of homes being purchased by millennials, because the housing market is fairly dependent on young first-time homebuyers.

The census bureau has reported that only about 36 percent of Americans below the age of 35 have become homeowners. Despite the fact that this number is so low, at least 90 percent of millennials would rather buy a house than continue to rent. If the percentage of millennials that would prefer to own their own home is so high, then why is the percentage of actual homeowners so low?

Why millennials are not buying

One major factor is the trickle down of expensive college educations. As the price of college continues to rise, more students are forced to take on the load of student debt. Millennials rack up student loans throughout their college career, not realizing that it will one day affect their ability to purchase a home. This is especially sad because the mortgage on an average priced home is cheaper than renting an apartment in most cases.

While student loans provide recent graduates with the advantage of establishing their credit history, they can hurt them when it comes time to apply for a home loan. Lenders consider an applicant’s debt to income ratio as part of the loan application. A hefty student loan can greatly hurt what the bank views as an ability to make payments on a mortgage.

This is particularly true for someone that has private student loans, because private loans tend to have higher interest rates and shorter payment terms, meaning that their monthly payment is much higher than that of someone who only has government student loans. Another problem that people run into is multiple student loan payments. If you are making five $70 dollar payments to separate lenders as opposed to one $150 dollar payment to one lender, you weaken your ability to prove that you can afford to take on a mortgage payment.

If that is not enough to worry about, there is still the fact that you have to save for a down payment. Many millennials barely have a savings account, much less a 20 percent down payment. Those who do decide to buy will rely on their parents and other family members to help with the expense of their down payment.

Another reason why millennials are having trouble buying homes deals with the job market. The country is finally making its way out of one of the biggest recessions we have seen in a long time, and finding a job can still be difficult for some people, especially for those who are new to the job market and lack experience. While a college degree can help get one in the door, it still does not warrant the pay level that many millennials need in order to cover their student loans and a mortgage.

It might take a little time, but, hopefully, we will start to see more millennials buying homes sometime in the near future. If you have trouble buying a home and would like credit counseling and loan information, contact Maureen Martin.

Filed Under: San Diego Lender Tagged With: Credit restrictions, credit score, san diego home loans

Side Form

Do you have questions?

Give me the details below and I will contact you
within a couple of hours.


    Client Testimonials

    Client Testimonials

    [google-reviews-pro place_photo=https://www.sandiegohomelender.com/wp-content/uploads/genesis-extender/plugin/images/logo-icon.jpg place_name=”Maureen Martin” place_id=ChIJdTXi0JoB3IARFF8EYBtKe-k auto_load=true rating_snippet=true pagination=8 sort=1 min_filter=5 write_review=true text_size=200 view_mode=list open_link=true lazy_load_img=true reviews_lang=en]

    Subscribe Form

    GET THE LATEST UPDATES

    Let’s Stay in Touch! Sign up for our newsletter.


      Latest from the blog

      • Why Move to North Park, San Diego?

        Why Move to North Park, San Diego?

        If you want to live in a trendy neighborhood with …
      • Why Credit Karma Scores Differ From FICO Scores

        Why Credit Karma Scores Differ From FICO Scores

        Did you recently try to apply for a loan, only …
      • 5 Reasons to Move to Clairemont, San Diego

        5 Reasons to Move to Clairemont, San Diego

        While looking into different neighborhoods in San Diego, you might …
      • 5 Reasons to Move to Mission Valley, San Diego

        5 Reasons to Move to Mission Valley, San Diego

        If I were going to name the most convenient place …
      • Costa Verde Strip Mall Revitalization Project Approved

        Costa Verde Strip Mall Revitalization Project Approved

        While Westfield UTC has a lot to offer the residents …

      Maureen Video

      Meet Maureen

      Please watch the brief video below for an introduction to the My Life Lender website:

       

      Navigation

      • Home
      • About
      • Testimonials
      • Contact
      • Blog

      Home Loans

      • FHA Loan
      • VA Loan
      • Reverse Mortgage
      • Conventional

      Loan Purpose

      • Mortgage Refinance
      • Home Purchase
      • Get Pre-Qualified

      Resources

      • Home Loan Basics
      • Mortgage Calculator
      • How to Refinance
      • Interest Rates & Their Meaning
      • Today’s Rates

      Locations

      • Mortgage Rates
      • Mortgage Broker
      • First Time Home Buyers
      BBB Accredited BusinessEqual Housing LenderNMLS Consumer Access

      Copyright © 2021 · maureen on Genesis Framework · WordPress · Log in

      Custom Footer

      Mission Statement

      To provide our customers with the highest level of customer service and the most competitive mortgage rate and term.

      Learn more about HomePlus Mortgage

      HomePlus Mortgage NMLS ID: 78669
      HomePlus CA BRE: 0142654

      Corporate Headquarters

      Maureen Martin google map

      Get In Touch

      2878 Camino del Rio S #402
      San Diego, CA 92108
      Phone: 619-857-7191
      Email: maureen@mylifelender.com
      Find Us On Google Maps
      NMLS ID: 247664
      CA BRE License: 01266511

      FacebookTwitterYoutube
      Copyright © HomePlus Mortgage | Terms of Use | Privacy Policy | www.nmlsconsumeraccess.org | Legal: State and Federal Disclosures and Licenses
      www.dre.ca.gov/consumers