38% of Millennials Would, or Have, Put Off a Wedding to Buy a Home
SEATTLE — Feb. 13, 2015 — Thirty-eight percent of American millennials (those aged 18-34) reported that they would, or have, put off a wedding or honeymoon in order to afford to buy a home, according to a survey by Redfin (www.redfin.com), the customer-first real estate brokerage. While marriage may come eventually for unmarried couples who buy a home together, for many, down payments have taken precedence over heading down the aisle.
Lindsay Milkovich, a Redfin real estate agent in Los Angeles, helped two unmarried millennial couples purchase their first homes in December. “To them, it just seemed more practical to put their money toward the purchase of a home instead of a big party,” she said.
And their choice may indicate a bigger commitment than a marriage. Divorce can be simple, but decoupling from a co-ownership situation never is.
“Breaking up is hard to do but splitting financial assets makes it even harder, especially considering the fees and closing costs that are associated with buying and selling a home, which if done too soon can wipe out all the equity accumulated,” said Redfin chief economist Nela Richardson. “A house for most people is a long-term asset, which it should be if you are looking for a return on your investment.”
So, if a couple is looking to make some money in the future from their joint home purchase, they should be sure that the relationship is ready to weather that kind of commitment.
To read the full report, including a breakdown of what a couple will pay in principal and interest for a 30-year mortgage, please visit: http://blog.redfin.com/blog/2015/02/first-comes-love-then-mortgage
This survey was conducted online within the United States by Harris Poll on behalf of Redfin from December 8-10, 2014 among 2,021 adults ages 18 and older. This online survey is not based on a probability sample and therefore no estimate of theoretical sampling error can be calculated. For complete survey methodology, including weighting variables, please contact firstname.lastname@example.org.
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