According to data analyzed and published by USA Today, the home ownership rate for people aged 25 to 34 in the Philadelphia metro area dropped 9 percentage points between 2006 and 2011. In 2006, the rate of homeownership among that group was 49.8%. In 2011 it was 40.9%.
In 2013, the trend continues, threatening the housing recovery overall. The reasons are high student loan debt, low-paying jobs and a lack of available housing inventory. Bidding can also get competitive when older, more solvent bidders can put a payment down in cash.
But young homebuyers are important to the market, and the market is important to them; owning a home is a way of acquiring capital and building a financial profile that will serve them in the future.
Philadelphia’s percentage decline is by no means the most extreme, but it is statistically significant.
• Housing recovery leaves Millennials behind [USA Today]