The housing industry has been waiting for years for a full rebound in the homeownership rate among young shoppers. For example, the homeownership rate for those under 35 years old averaged 40.8% in the year 2000, peaked during the housing boom at 43.6% in 2004, and remains depressed at 37.5% today.
With marriage assumed to be the ticket to owning a home, we collected data on top metros across the country to look for commonalities in Millennial homeownership.
- As expected, the average homeownership rate for a married Millennial in top metros is 60% compared to 43% for those not married.
- Of the markets with the highest share of Millennial homeowners, there’s a large cluster in the Midwest (six of the top ten). Select markets in the Southeast and Northeast also have relatively high rates of ownership.
- Five markets show a homeownership rate for married Millennials over 70%: Indianapolis, Greenville, Detroit, Cleveland, and Minneapolis.
The map below highlights that markets that offer relative affordability through a combination of lower-priced homes and quality jobs allow Millennials to follow the more traditional life path similar to their Boomer parents, which includes marriage, buying a home, and having children.