Home ownership on the decline in Middle Tennessee
NASHVILLE, Tenn. (OSBORNE) -- It’s getting increasingly difficult for young people to buy their first home and that’s a problem for the mid-state economy.
Lipscomb University economist Dr. Andy Borchers notes home ownership for those between 24 and 35 years of age is in “general decline.”
Barriers to home purchases include rising home prices, student loan debt, and the fact that young people are getting married later in life.
The bottom line: Borchers says renters pump less money into Middle Tennessee's economy.
“Reduced home ownership actually has an overall negative effect on the economy. Home ownership involves with it the purchase of a lot of other things, whether it’s lawn mowers, window treatments, more expensive and more complete furniture sets, etcetera.”
Dr. Borchers points to a 2018 Bank of America survey that shows mid-state Millenials do value home ownership. In fact, the survey says Millennials rank getting that first home above getting married, or having children.