LA VERNE, August 25, 2017 — Reportedly, millennials are migrating from their families’ basements into homes of their own. There were 854,000 “new-owner” households formed in the first quarter 2017, more than double the 365,00 “new-renter’ households formed over that same period.
Sx years ago, first time homebuyers comprised just 31% of the home purchase market. That figure today is 42%.
By the way, a new homeowner is classified as anyone who hasn’t owned a home in the last three years.
If millennials are looking in La Verne, there’s more inventory. As of this week, ending August 25, there 126 homes on the market, according to Trulia.
The median price (half the homes are listed higher and half are listed lower) for these home is $601,000 or $353 a square foot. To put that price in some perspective, that compares with a median sales price of $586,250 for San Dimas, $584,000 for Glendora and $642,000 for Claremont.
If you can come up with a traditional 20 percent payment, that’s still going to put you in the market for a mortgage of close to $500,000, which could require a monthly payment of about $2,500, excluding taxes and other monthly fees. But if you’re paying around that much in rent, you might consider a purchase.
Interestingly, home size is shrinking, at least on a national scale. The median size of a new single-family home slipped 2% to 2,422 square feet in 2016, according to recent Census Bureau data.
Finally, if you’ve been watching all those house-flipping shows, here’s one more stat to ponder:
The average time to flip is 194 days. The big institutional flippers are taking 134 days. The longer you take, the more it costs you. Time equals money!