PORTLAND, Ore. (KOIN) — Contrary to the belief of a millionaire property developer, most millennials aren’t too busy buying avocado toast to buy a home of their own.
According to apartment search website RentCafe, millennials have become a homeowner-majority generation — and Portland is one of the top cities that saw a steep increase in millennial homeownership.
RentCafe reports that the number of millennials, also called Generation Y, who own homes has grown by 64% from 2017 to 2022. Now, with 52% of the generation opting to purchase forever homes, they account for 18.2 million of the U.S.’s homeowner population.
Gen X earned the second place spot for homebuyer growth in the U.S., though its number only increased by 1.9 million owners in the past five years.
The data shows that Richmond, Va., was the No. 1 large city that saw a significant five-year increase in millennial owners, with the demographic spiking by 234%. Las Vegas and Milwaukee followed closely after, with the Rose City then taking the No. 4 spot.
“The metro recorded a staggering 146% rise in Millennial owners between 2017 and 2022, reaching a peak of 182,252,” RentCafe Communication Specialist Felicity Domentii said. “As a result, 54% of people in this age group are now living in their own homes. By comparison, the number of renting Millennials dropped by 5% — but they still make up the largest share of renters in Portland.”
On the contrary, Gen X is still the largest demographic of homeowners in the Portland area.
According to the study, the average Gen-Yer bought their first time at the age of 34, one year after the average Baby Boomer and two years after the average Gen Xer.
RentCafe says many millennials reached the record-breaking median income of $108,000 in 2022, making it easier for them to shift to home-buying. It also says that many people moved back in with their parents during the pandemic and were therefore able to save more money for mortgage down payments.
Currently, Generation Z is the only demographic that rents homes more than it buys them, with a 74% majority.