Millennials Are Delaying Their Home Purchase Plans

According to one of the major credit bureaus, a sizable number of millennials have decided to put their plans to purchase a home on hold. This happened after they learned that the interest rate hike had occurred and 42% the people surveyed reported that the interest rate hIke influenced their plans. The key interest rate was raised in December by one quarter of a percentage point, It was raised again the same amount in March. This indirectly led to the an uptick in mortgage rates. Even though mortgage rates are still near historical lows, the rising interest rates at the end of 2016 caused first-time home buyers, mostly millennials, to put their home purchase plans on hold. The higher rates make qualifying for a mortgage and finding available inventory for an appropriate a bit more difficult.