Millennials are the largest share of homebuyers, and the D.C. region ranked 10th out of the top 50 markets for share of millennial buyers last year.
LendingTree reports more than 56% of mortgages approved last year in the D.C. region were for millennial borrowers, defined as those age 27 to 42. The average age of a millennial buyer in D.C. is 33 years old.
The average down payment millennial buyers in the D.C. area came up with last year was $74,651. But LendingTree stresses that is also an average.
“As is always the case with averages, there is a lot of wiggle room. Some people will put down more. Some people will put down less. If you can’t come up with $75,000 in cash for a down payment, don’t panic. There are probably still options for you available, and plenty of people manage to buy homes for much less,” said Jacob Channel, senior economist at LendingTree.
D.C. ranks high for millennial buyers in part because D.C. ranks high for millennial residents.
“D.C. has historically been a very, very strong economy,” Channel said. “And I think it has an economy that can be attractive and advantageous for millennials. It doesn’t hurt for example that some of the best universities in the world happen to be in D.C., so a lot of people go to D.C. to go to school. And then they find they stick around because there are so many great career opportunities.”
Aside from economic motivations, millennial buyers also have social motivations for home buying. They are often starting families and need a home.
The metro that tops the list for share of millennial buyers is also the country’s most expensive housing market. In San Jose last year, 64.57% of mortgages offered last year were to millennials. They also dig deep for down payment, at an average $144,942.
The smallest share of millennial investors last year, based on mortgage offers, was Las Vegas, at 41.92%.
Below is the full list of metros and their share of millennial buyers, based on LendingTree research.