CHARLOTTE, N.C., March 17, 2016 /PRNewswire/ -- Millennials
in Boston, Pittsburgh and Washington D.C. pursue home ownership more
than their counterparts in any of the nation's top 50 cities,
according to a new study by LendingTreeĀ®, the nation's leading
online loan marketplace. They're at the forefront of a growing
nationwide trend of young buyers returning to the housing
market.
LendingTree analyzed mortgage requests for consumers 34 years
and under in the past 12 months, along with requests from the total
population of mortgage-seekers based on the location of the
property to be mortgaged. The city ranking is created from the
percentage of all purchase mortgage requests that were submitted by
consumers in the millennial generation.
Boston, MA tops the list with
52.5% of all purchase mortgage requests coming from millennials,
followed by Pittsburgh, PA
(48.96%) and Washington, D.C.
(48.17%). Average mortgage loans to young borrowers in those
cities are $343,783.11, $161,083.33 and $352,719.90 respectively.
On average, 41.36% of all mortgage requests through LendingTree
come from applicants under 35 years old. The average age for a home
buyer in that age group is twenty-nine. Their mortgage loans
average $220,949.02, and their down
payments $32,759.66.
"The under-35 crowd had been, for some years, hesitant to enter
the housing market, but we're seeing that start to shift," said
Doug Lebda, CEO of
LendingTree. "The data all points to the fact that millennials
are increasingly eager to own rather than rent, and even the
incredibly high real estate prices in some markets don't
necessarily deter them."
While San Francisco millennials
signed on for the highest average mortgage loans in the country
($505,160.60), requiring the biggest
average down payments ($162,474.11),
the city also sees a relatively large percent of home loan requests
coming from millennials (42.32%), underscoring the fact that
San Francisco is home to
top-earning young professionals well-positioned to afford expensive
housing costs.
Mortgage loans made to millennials in Buffalo, New York, meanwhile, are the nation's
lowest at just $131,232.06 (down
payments average $21,915.93 for this
age group). The city also boasts the overall lowest monthly
mortgage payment for young homeowners, at just $747.86, helping explain why the city has seen an
upswing in young people moving there.
"Overall, we've seen a 28.5% increase in loan requests from
millennials this past year over the prior one, evidence that the
appeal of home ownership is strong - and growing- for young
buyers," said Lebda.
Rank
|
City
|
% of
Purchase
Requests
from <35
Yrs
|
Avg Credit
Score (<35
Yrs)
|
Avg Age
of buyer
(35 Yrs)
|
Avg Down
Pmt (<35
Yrs)
|
Avg Loan Amt
(<35 Yrs)
|
Avg
Monthly
Pmt (<35
Yrs)
|
1
|
Boston MA
|
52.46%
|
727
|
28
|
$56,947.94
|
$343,783.11
|
$1,911.77
|
2
|
Pittsburgh
PA
|
48.96%
|
718
|
29
|
$21,787.38
|
$161,083.33
|
$929.75
|
3
|
Washington
DC
|
48.17%
|
739
|
30
|
$69,348.98
|
$352,719.90
|
$2,014.06
|
4
|
Des Moines
IA
|
48.15%
|
708
|
29
|
$17,669.19
|
$136,276.74
|
$785.78
|
5
|
Minneapolis
MN
|
47.34%
|
715
|
29
|
$28,652.93
|
$198,834.31
|
$1,140.44
|
6
|
Columbus
OH
|
45.57%
|
717
|
29
|
$26,236.45
|
$170,434.04
|
$973.06
|
7
|
Chicago IL
|
45.48%
|
731
|
30
|
$44,597.48
|
$259,863.04
|
$1,476.97
|
8
|
Milwaukee
WI
|
45.12%
|
714
|
29
|
$22,501.73
|
$166,315.19
|
$956.53
|
9
|
Omaha NE
|
44.64%
|
710
|
28
|
$21,381.27
|
$184,036.70
|
$1,026.89
|
10
|
Rochester
NY
|
44.51%
|
718
|
30
|
$24,590.07
|
$137,213.09
|
$789.23
|
METHODOLOGY: LendingTree analyzed mortgage requests for
consumers 34 years and under in the past 12 months, along with
requests from the total population of mortgage-seekers based on the
location of the property to be mortgaged. The city ranking is
created from the percentage of all purchase mortgage requests that
were submitted by consumers ages 18 to 34.
About LendingTree
LendingTree (NASDAQ: TREE) is the nation's leading online loan
marketplace, empowering consumers as they comparison-shop across a
full suite of loan and credit-based offerings. LendingTree
provides an online marketplace which connects consumers with
multiple lenders that compete for their business, as well as an
array of online tools and information to help consumers find the
best loan. Since inception, LendingTree has facilitated more than
55 million loan requests. LendingTree provides free monthly credit
scores through My LendingTree and access to its network of over 350
lenders offering home loans, personal loans, credit cards, student
loans, business loans, home equity loans/lines of credit, auto
loans and more. LendingTree, LLC is a subsidiary of LendingTree,
Inc. For more information go to www.lendingtree.com, dial
800-555-TREE, like our Facebook page and/or follow us on Twitter
@LendingTree.
MEDIA CONTACT:
Megan Greuling
704-943-8208
Megan.Greuling@LendingTree.com
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SOURCE LendingTree