Why do we have a Housing Shortage? Housing shortages are caused not only for the obvious reasons,(there hasn’t been enough construction). They are also a byproduct of our times. Market values are at an all -time high. That is great if you are selling a home. The kicker is you also have to buy a home and will also have to pay those all-time high values. I ran across a great article in The MReport that addresses this as well as home prices & mortgage rates.
Home Prices, Mortgage Rates, and Millennials
A survey conducted by ValueInsured suggests that millennials who have entered the housing market are living in their entry-level homes longer than they would prefer. According to the survey, 85 percent of all millennial homeowners with entry-level homes would sell and upgrade if they could. 78 percent of the same group say they are unwilling to do so with the current market valued at an all-time high. This lack of resale homes is adding to the housing shortage.
This not only has made it harder for millennials to build wealth the old-fashioned way—buying a starter home with a mortgage, selling it, paying the bank back, then repeating the process however many times—but it has also had an adverse effect on the availability of affordable entry-level homes for the next generation of first-time homeowners. This situation is perceived as one of the major conditions underlying the problems with affordability in the housing market today.
To Read The Entire Article From The MReport Click Here
The bottom line
The housing shortage isn’t going away anytime soon. If finding your dream home is on your list, contact us today. It may take a little longer to find, but it’s out there waiting for you!