2-20-2015: Real Estate Agents Are Desperate to Understand Millennial Homebuyers.
11-6-2014: First time home buyers comprised about 33% of all buyers in the latest 12 month period…Besides higher rents and student loan debt, the confidence in the economy is very low.
8-24-2014: Just performed a simple search for available properties under $175K along Powers Ferry Road in Marietta in either Pope or Walton school districts and found none available…in past 2-3 years there were more available. Inventory fluctuations, higher interest rates, and decline of purchase mortgage applications recently don’t bode well for the first time home buyer.
6-1-2014: Tight lending standards, fewer affordable starter homes (i.e., higher prices), sluggish economy, lower salaries, and joblessness are forcing younger, first time home buyers away from buying homes and continue to rent or live at home with parents. This may take a few years to return to a more normal environment. Source: WSJ, Sat-Sun May 24-25, 2014, page A2.
Rising home prices – rising mortgage rates – stiffer prequalification criteria – unfavorable appraisals – FHA’s increase of Mortgage Premium Insurance forever on FHA loans and traditionally lower FICO scores have many first time home buyer squeezed out of the home buying process.
According to the Wall Street Journal (7-23-13, A1), this category of buyers who are traditionally comprise about 40% of the market are down 25% this past year.
This category of home buyer has helped boost real estate recoveries in the past
Another source: http://www.moneynews.com/FinanceNews/CFPB-mortgage-refinancing-rules/2013/09/05/id/523936
10-22-2013 Note: Some traits and trends of first time home buyers.