Millennials Really Not Buying in the Bay Area

You’ve heard it over and over in this space (“Millennials: Ready to Buy – Eventually” and “Baby Boomers May Compete with Millennials for Rentals”, among others), but recent analysis by Ellie Mae and Earnest confirms the news: Millennials are not buying in the Bay Area as only 17 percent of applicants for mortgages in the Bay Area between January and August 2016 were millennials.

We’ve discussed the reasons before: a sizeable down payment is needed as well as an above average credit score. Most homes require two incomes – but millennials are postponing marriage as well as they try to cope with often overwhelming student debt.

Silicon Valley does show a slightly higher percentage of millennials buying homes – 19 percent – due primarily to the higher incomes in the area.

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