In 2019, homeownership for young people is generally on the decline. However, one group of millennials is bucking that trend, and that’s millennial veterans. So why are vets are more likely to slap that sold sticker on that realty sign?
Although homeownership is part of the American Dream, millennials in general right now are 12% less likely to own a home by the age of 30 than their parents. However, veteran millennials are seeing an increase, taking advantage of some much-deserved help.
Veteran Brandon Brill served our country for over 5 years. While enlisted in the Army he lived on base, so when he got out his family was in search of a home. They found a house that caught their eye, but like many young people, money for a down payment was an issue.
VA Loans Help Millennial Veterans Purchase Homes
“Coming out we didn’t really have money saved up, as much we wanted to,” Brandon said. Likely echoing what many young veterans are thinking. That’s where VA Loans come in. Arguably, the most powerful home loans on the market.
VA backed loans often come with no down payment and mortgage insurance, easier credit standards, and lower interest rates. That’s a big way that we’re seeing veterans, younger veterans in particular, buck this trend among other millennials.
What Advantages Do Millennial Veterans Have With VA Loans?
According to lender Veterans United Home Loans, VA backed mortgages spiked 109% since 2015. Consider Pensylvania, the location where Brandon and family bought their home. The average VA loan in 2018 for Pennsylvania was $204,000. Normal buyers would need about $11,000 at closing, but with no down payment or closing costs needed, Brandon Brill was able to make this house a reality for his family.
“It’s probably the best experience I had in my whole life,” Brandon stated.
Now some experts are saying high housing costs and education debt, along with young people waiting longer to marry and have kids is the reason millennial home buying seems to be down. Many people think if nothing changes then this trend will continue, meaning fewer homes will likely be bought by young people in the near future.
Whatever the case, the trend of millennial veterans outpacing non-veterans in achieving the dream of homeownership will likely continue for the foreseeable future.
In case you’re interested, here’s a news story about Brandon and his lovely family: