The Rise of Millennials in the Housing Market: Family Money and Home Loans
A survey conducted by Redfin found that 38% of homebuyers under the age of 30 used family money, such as cash gifts or inheritances, to afford their down payment, highlighting the growing reliance on family assistance in the increasingly expensive housing market. With housing affordability deteriorating and home prices soaring, many young buyers are finding it difficult to enter the market without financial help. The income needed to buy a starter home has also increased, further widening the gap between those with family assistance and those without. This perpetuates intergenerational wealth inequality and reinforces the importance of homeownership in wealth accumulation.