The world seems to have turned upside down these past few months. With the onslaught of COVID-19, many people have experienced pay cuts, a decrease in hours, layoffs and job loss. At the same time, mortgage rates have dropped and are luring some people into the home buying arena. Generally speaking, affordable housing holds the greatest appeal while luxury housing is taking the back burner. Townhomes are and will continue to emerge as a front-and-center choice for a couple big segments of the population, one of which is the millennials.
It’s All About Lifestyle
Millennials who are not planning to rent indefinitely are delaying the home-buying process, oftentimes purchasing their first home in their late 20’s or early 30’s. Paying off student loan debt and getting established in their careers frequently takes priority over getting married and starting a family and lifestyle flexibility tops the priority list. Low-cost living and low-maintenance homeownership attract many millennials to townhome living and free up time and resources for travel and the pursuit of activities outside their homes and within their communities.
Starter Home Shortage
In 2018, only 20.9% of available real estate consisted of starter home inventory, according to Trulia. In fact, since 2012, starter home availability has dropped by 43.6%! Additionally, we are in the midst of a seller’s market. Fewer listings means buyers drive up home prices. With a growing number of millennial homebuyers in the market and a low inventory of affordable “starter homes,” townhomes are an increasingly appealing option.
The Appeal of Mixed-Use Neighborhoods
With the creation of more mixed-use neighborhoods, walking or biking to work, parks, dining, shops and entertainment spells out “lifestyle” to millennials and draws a vast number of this segment onto the townhome scene. Many argue that shorter commute times, more connection with neighbors and a more integrated life contribute to less stress and greater personal fulfillment.
Do you manage a townhome association? Summer and fall are the perfect times to tackle roofing, deck, gutters, siding and maintenance projects. Remember Hoyt Exteriors for all of your multifamily exterior projects! Contact us to get on our calendar or to get more information on any one of our exterior services.