Millennials Selling 1st Homes May Lead Inventory Boost

Home prices continue to escalate as the inventory shortage worsens. According to a housing report from Realtor’s.com, 64% of potential home sellers intend to list their home by October.

Furthermore, the study also found that the two main motives for selling are new familial needs (31%) and the desire for updated features (15%). This is not surprising because the majority of sellers planning to make a move are millennials who want to upgrade to more spacious homes (49%).

Older millennials who are in their late 30s to early 40s will likely lead the listing charge, since 61% of millennial respondents said they’ve previously sold a home at least once. However, millennial sellers could find themselves in a risky situation as buyers. Compared to all survey respondents, higher shares of millennials want a more affordable home (34% vs. 21%) and need the sale money as soon as possible (14% vs. 11%) to help offset inflation, student loan debt and other economic burdens.

Lastly, the study warned against overlooking listing preparations. Sellers who made updates (59%), cleaned and decluttered (67%), or fully repainted interiors and replaced flooring (47%) had the best outcomes.

Source: Inman (04/06/22) McPherson, Marian