According to a new study by Trulia.com, young people in Grand Rapids are opting to buy homes at a higher rate than their counterparts in other cities across the U.S.
That means that more adults ages 28-32 in Grand Rapids are living in the their parents basement. In fact, Grand Rapids has one of the highest rates for “millenials” NOT living with the parents or grandparents – a whopping 89%.
And of that 89%, a total of 57.3% owned a home, the highest rate of any city in the nation.
According to the study, only 39.1% of young people in the millenial age bracket were homeowners in 2015.
The survey encompasses a total of 100 cities across the U.S. The only city where millenials were more successful is Philadelphia, PA according to the Trulia.com report released on April 26th.
On a nationwide basis, home ownership for young adults is the lowest it has been since the mid-1970s when baby boomers were becoming of age and looking to buy homes.
The reason? Young adults are putting off buying a home, mainly because they have delayed getting married and having children. It’s easy to live in an apartment or with room maates when you are single.
The Grand Rapids real estate market has experienced record low inventories as of late, as are many areas across the country. According to the survey, the Grand Rapids market is the nation’s 3 healthiest in terms of market sentiment and activity.
The survey also includes data for “average days on market”, and takes into consideration the relatively low cost of housing compared to other desirable areas of the country.
Although young adults have a higher home ownership rate than older adults nationwide, they do earn less money. Average income for 28-32 year olds in West Michigan was $37,771 compared to $52,090 for adults ages 33-55 years old.
The unemployment rate for young adults remains somewhat low from historical standards at 6.3%. More than two-thirds of millenials in West Michigan have had at least 4 years of college education according to the study.