In the Market: Millennials’ spending & credit trends

Posted By Nneka Madus In Your Home | 1 Comment

This feature is a real estate news and information roundup from a millennial’s point of view. When a young professional moves from Indianapolis (median home price $125K) to San Francisco (median price $1 million), you can expect an adventure.  Nneka Madus, an analyst in Bank of the West’s Mortgage Division, did just that and has plenty to share in her quest to own a home in San Francisco.

Young man sitting in big arm chair near bay windows in his living room. [1]Since many millennials aren’t buying homes, what exactly are we spending our money on? Organic food, craft beers, tattoos, etc. And what are we borrowing money for? Student loans, student loans, student loans. OK, that’s not all, but check out Brena Swanson’s HousingWire article [2], where you’ll find a slick infographic illustrating how we spend our money and use credit.

Carrie Fisher (from “Star Wars”) said it best: “Everything is negotiable; whether or not the negotiation is easy is another thing.” This is true, even in real estate. So you want to make sure that you’re prepared. Sellers want to sell their home for the most cash possible, while buyers are looking for the best deal – and somewhere in the middle is where both parties will meet after negotiations. Even though each party haggles over the selling points, closing the transaction is the ultimate goal for both parties, with each hoping they got the best deal. Before your next real-estate transaction, check out Michelle Murad’s article in Entrepreneur: “11 things you need to know about real estate negotiations [3].”

It is already February, and before you know it, it’ll be April — and you know what that means. Yes, baseball season. But I’m talking about tax season. However, tax time for homeowners may not be so dreadful this time around. In this Washington Post article [4], Sandy Gadow reports that several tax deductions that were scheduled to expire were spared, including an exemption for private mortgage insurance. If you’re a homeowner, you may have more tax breaks than you know; but, of course, consult with a certified tax professional to get tax advice on your particular financial situation.


Article printed from Bank of the West: https://blog.bankofthewest.com

URL to article: https://blog.bankofthewest.com/2016/02/03/in-the-market-millennials-spending-credit-trends/

URLs in this post:

[1] Image: http://blog.bankofthewest.com/wp-content/uploads/2016/02/millennial_man_home_crop.jpg

[2] Brena Swanson’s HousingWire article: http://www.housingwire.com/articles/36079-infographic-an-inside-look-at-millennial-credit-profiles?eid=311690952&bid=1288852

[3] 11 things you need to know about real estate negotiations: http://www.entrepreneur.com/article/253732

[4] Washington Post article: https://www.washingtonpost.com/realestate/homeowners-take-note-you-may-have-more-tax-deductions-than-you-know/2016/01/20/bebaa006-bae3-11e5-b682-4bb4dd403c7d_story.html

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