Phoenix Metro Area Among Least Popular For Millennial Homebuyers
The Phoenix metro area is among the least popular for millennials looking to buy a home.
A recent report from LendingTree looked at the least and most popular metros for millennial homebuyers, those born between 1981 and 1996, based on mortgage requests and offers between Jan. 1, 2020 and Dec. 15, 2020 and compared that to the total mortgage requests and offers in each metro.
The Phoenix metro area ranked as the third least popular metro for millennial homebuyers, behind only Las Vegas and Tampa, Florida in that measure. The Miami and Jacksonville, Florida, metros rounded out the top five least popular.
Top of the most-popular list was San Jose, California, home to Silicon Valley. The region saw 61.79% of purchase requests come from millennials. San Jose was followed by Boston, Denver, Minneapolis and Buffalo, New York.
In Phoenix, 46.33% of the mortgage requests came from millennials, the third-lowest among metros evaluated. On average, a Valley millennial puts down $35,603 for a down payment and asks on average for $258,161 for a loan amount, according to the report.
The average age of potential Phoenix-area homebuyers in the study was slightly above 31 and the average credit score among Valley millennials was 659.
For comparison, the average loan request for San Jose was $704,000 (the highest overall, ahead of San Francisco) with a down payment of $158,040 and an average credit score of 730.
Phoenix’s average loan request ranked 20th overall for highest amount.
Millennials now make up the largest group of homebuyers in the United States, overtaking both Generation X and baby boomers. Metros that attract millennials are also drawing a strong young talent pool of workers between the ages of 24 to 39.
The full report can be found here.