Buying a home is on the horizon for many Fort Worth millennials, but it may be a while before they do.
As part of an annual survey, Apartment List questioned millennial renters across the country about their plans for homeownership. Fort Worth lines up with the national trend: A lot of young people want to buy a place, but they can't afford to right now, and they may not be able to any time soon.
Eighty-one percent of local millennials plan to buy a home, but most say they need at least two years to prepare. The main reason for holding off? Affordability.
Survey respondents estimate they need $16,827 for a down payment in Fort Worth, and they have a long road ahead. Local respondents report having $3,192 in savings, with plans to contribute $212 each month. They think they'll need to save for four-and-a-half years to buy a home, which is the shortest amount of time in Texas. In Austin, millennials need to save for 10 years, and just up the road in Dallas, it's six years.
Apartment List says there's a disconnect between millennials' homeownership dreams and reality. "Many do not seem to realize their financial predicament — 3 in 4 renters plan to purchase a home within the next five years, but their savings trajectories suggest that they may need a decade or more to afford it," says Apartment List.
The delay in first-time home purchases is part of what Apartment List calls an ongoing affordability crisis that is shaping the future of the housing market.
"Some may choose to delay settling down and having children, while others will migrate to family-friendly cities on the interior of the country. Given the size of the millennial population, either scenario will have a profound impact on homeownership and renting in our society."
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