Millennials have been in the press a lot lately. Much of the news has been about how Millennials have been putting off home purchases. And it’s true – Millennials have tended to buy homes about 5-7 years further into their careers than previous generations. As of the close of 2018, only about 1 in 35 millennials reported owning their own home according to U.S. Census data.


“Li’ili’I ka ohiki, loloa ka lua.”
“The sand crab is small, but digs a deep hole.” i.e., small size is no hindrance to accomplishment. –- Hawaiian proverb

But Millennials are starting to move into the market in a big way – even here in Hawaii.

Nationwide, Millennials now account for 37% of all home purchases, according to the National Association of Realtors. Even the younger Millennials – those born between 1990 and 1998 – are increasingly becoming homeowners, comprising 11% of all homes purchased last year.

Meanwhile, underemployment was rampant among millennials for several years. It’s still an issue – but as the economy recovers, many younger workers and recent graduates are finally finding their economic footing – and buying homes.

There are going to be bumps in the road, to be sure, but in the long run, millennials who purchase their first homes in their 20s and 30s are likely to do better financially than millennials who continue to pay rent to their landlords.

For younger homebuyers, the challenge is often raising the funds for a down payment, but it’s not insurmountable. According to a survey from Redfin, 69% of millennials amassed their down payments simply by scrimping and saving; 36% used earnings from a second job. Interestingly, about 10% of them sold cryptocurrency positions to buy their homes. If they did so by December (or so) of 2017, that was a great decision!

Most of them didn’t do it with cash assistance from family or by inheriting money. Only 24% of Millennial homebuyers got parental help with their down payments, and only 12% of Millennial homebuyers used an inheritance.

If you’re a millennial and you’d like to buy a home, don’t be intimidated by the down payment. There are now several programs that make buying a home with a very limited down payment easier than you think.

Also, you don’t have to wait until your credit is perfect. In fact, waiting for years until your credit score improves and your student loans are paid off can be very expensive. If you can get current on your obligations, with no delinquencies, chances are we can get you into a great home loan.

So, don’t wait!

If you’ve got some clean-up work to do, give us a call, and we can help you work out a plan. If you have some work to do to save for a down payment, call and we’ll work out a road map and help you identify some realistic goals. You may be closer to the dream of home ownership than you think!

Ready to get started? Call Pacific Home Loans today at (808) 891-0415. Or fill out our online application, and we can work on getting you pre-approved.