Millennials still make up the largest demographic of homebuyers, and as they creep into their late 30’s, they continue to do things very differently than their parents did. Covid-19 also changed the way they thought about work, commute times, and real estate. All over the country, millennials are buying real estate and investing. But where?
Here are some of the most popular cities for millennial homebuyers:
San Jose, CA
San Jose has an extremely high cost of living, which is why many are surprised that so many first-time homebuyers are flocking to this sunny California city. San Jose is a city of innovation, high-profile companies, and a thriving economy. Hardworking millennials who want to get into some of the hottest tech companies in the country find their first home in San Jose. Real estate agents often suggest areas like Burbank, Downtown and Evergreen to their millennial clients.
Why they love it: San Jose is diverse and vibrant. The weather is great, the beach is only an hour away, and there are many options when it comes to real estate. There are charming historic homes, impressive high-rise apartments, and sprawling new homes in quiet suburban neighborhoods.
Average down payment: $148,098
Minneapolis is a thriving city based on art and culture. It blends high-rise office buildings with sprawling green parks and is home to a community that values education, art, music, and technology. It’s a city with a rich history and has more Fortune 500 companies per capita than anywhere in the world. Millennials interested in working their way up in some of the world’s biggest brands can get their foot in the door in the Twin Cities. Real estate agents in this area often point millennials toward Linden Hills and Whittier for first-time home buying.
Why they love it: Minneapolis is the 11th most walkable city in the US, and eco-conscious millennials appreciate the fact that they can walk and bike throughout the city without the need for a car.
Average down payment: $31,812
Boston is another city that has a high cost of living but still continues to bring in thousands of millennials each year. Technology, engineering, and life sciences are the three biggest industries in the area, making it a go-to city for young professionals. Entrepreneurs thrive here as well because this active city has many resources for start-ups and small business owners. Real estate agents suggest Brighton, Fenway and Charlestown as the most popular for millennial homebuyers.
Why they love it: The food. The art. The gorgeous natural spaces. Millennials love Boston because it has everything needed to grow–both professionally and personally.
Average down payment: $76,500
Denver is a bustling city that is known for its countless outdoor activities, gourmet food, and vibrant music scene, all set against the gorgeous backdrop of the Rocky Mountains. There are over 200 parks within the city limits, and it has been named one of the country’s most beautiful cities. Some of the most popular industries in Denver include aerospace, broadcast and telecommunications, and healthcare and wellness; all very different industries that attract very different people. Real estate agents suggest millennials start their search in areas like Highland, Five Points and Jefferson Park.
Why they love it: Locals can live, work and play in Denver without a car. The four gorgeous seasons, the healthy job market, and the charming city vibes all help rank this hot spot among the most popular cities for millennial homebuyers.
Average down payment: $94,486
Real estate agents all over the world are using this year as a time for self-reflection and growth. They’re taking more real estate courses, and investing in real estate education so they can better serve this unique demographic of homebuyers. Mbition offers classes for both new and seasoned real estate agents to help millennials (and Gen Z) buyers reach their real estate goals.