The housing market is veering toward full-on absurdity, if reports are to be believed. We are seriously short on available houses to buy and sell, especially if you're not looking for luxury living. Anything that's in your range probably gets snapped up if you're not voraciously on the ball about your hunt. That's not the only thing keeping us tied to our present properties, though.
MarketWatch dug up a startling statistic this week: According to international accounting and consulting firm Grant Thornton, "the income needed to buy the median home has increased by 11.6 percent in the last year, while median family incomes have risen only about 2.8 percent." Not only are earnings not keeping up with costs, but with interest rates up in the air, the cost of borrowing may rise too. Young homeowners might figure that it's better to sit on one property, even if you've outgrown it, than to struggle with significantly larger tax and mortgage payments.
The Millennial Generation is, by virtue of its sheer size, buying up a larger and larger share of available homes, but the total percentage of millennials who own property still isn't what it could be. We're all up against an affordability crisis too, though on the bright side, at least most of us aren't in the position of renters in Hong Kong: A Bloomberg article this week details how an increasing number of residents have to break the law in order to live in the city.
The good news for homeowners in all this is that you can almost write your own ticket if you do want to sell. Just be sure you've got somewhere to land once you sign for that payout.