The National Association of REALTORS® (NAR) recently released its latest Most Popular Areas for Millennials: Where They Move and Stay. In this report, NAR defines Milleannials as between the ages of 21-38 years. The report indicates that Millennial buyers account for 37% of all home purchases.

Primary drivers for Millennials when it comes to home buying are affordability and a good job market. NAR analyzed employment gains, property trends, income levels, and housing conditions among the largest 100 metro areas to identify the most popular areas for Millennials.

According to NAR, these are the two best markets for Millennials:

  1. Madison WI
    1. 75% of the people who recently moved to Madison have been Millennials.
    2. The median income of Millennials who have recently moved to Madison is $68,500, higher than the national median income of $62,000.
    3. According to Lawrence Yun, the chief economist with NAR,” In comparison to other areas, Madison offers one of the highest wages for Millennials. Moreover, this income level, combined with robust employment opportunities and (home) affordability, make Madison among one of the most appealing locations for Millennials looking to stay longer and raise families.”
  2. Bakersfield CA
    1. 28% of all residents in Bakersfield are Millennials and 67% of all new residents in Bakersfield are Millennials.
    2. This city is known as one of the most affordable cities in the state of CA.
    3. Millennials can afford to purchase 15% of homes listed for sale here whereas only 4% of homes are affordable within the state.
    4. Job growth is picking up at a strong pace in Bakersfield, according to Yun.

 

The 5 Most Popular Buying Areas for Millennials, according to NAR, include:

  1. Madison WI
    1. 75% of movers are Millennials
    2. 32% of total population are Millennials
  2. Grand Rapids MI
    1. 73% of movers are Millennials
    2. 27% of total population are Millennials
  3. Seattle WA
    1. 70% of movers are Millennials
    2. 29% of total population are Millennials
  4. Durham NC
    1. 68% of movers are Millennials
    2. 29% of total population are Millennials
  5. Omaha NE
    1. 67% of movers are Millennials
    2. 28% of total population are Millennials