In Phoenix, a report that just came out is now worrying a number of people as information shows that census numbers and home buying trends is leading the state to its plummet. Such trend is when considering the millennial population growth.
According to Andrew Woo of Apartment Lists, based on their date on the millennial homeownership rate in the last decade, the change is majorly affected by wage growth.
The report also shows that from 20005 to 2015, Phoenix was occupied the 46th spot among the 50 largest metropolitan cities in term of millennial population growth. Meanwhile, nationwide, millennial population growth has been linked with median income.
For instance, in Phoenix, a decrease in median income was estimated to be 4.9%. And along with that number, millennial ownership rate almost anywhere where on the downside. However, in Phoenix, the decrease, which is 11.3%, is considerably greater than the national average which is 7.4%.
On the other hand, the report indicates that millennials preferred moving to cites that included the following: Tulsa, Okla; Charlotte, NC; Indianapolis, Ind; Houston, TX; Austing, TX; Omaha, Neb., Seattle, Washington; Nashville, Tenn. Still the migration was greatly influenced by median income of the millennials.
According to Tina Tamboer, a Senior Real Estate Advisor with the Cromford Report, it is not that easy to link the age of people to current home buying trends. However, given the current state of housing markets, millennials are having a hard time moving into a new home because the newly constructed houses were not really made for first-time home owners.
In fact, in the Valley, the current listings for home have decreased by 25% for the price range below $150,000.
In addition, baby boomers and boomerang buyers also serve as competition to millennials, as these people started downsizing and working on clearing up their credits and foreclosure histories in order to buy new homes.
It seems that millennials prefer locations can be found on the outskirts of towns. Such places include the likes of Lavine, Buckeye, San Tan Valley, and Maricopa, areas wherein real estate tend to be less expensive.
Meanwhile, for a millennial who chose Arizona to start her life and her business, Francesca Bessett knew that making such decision really did get to her nerves.
The woman missed a number of her friends, who have now move somewhere else to look for job opportunities, and there wasn’t really that much money to earn in the state.
Thanks to the help of the local government and other small businesses in the state, Francesca managed to succeed in her company, Painting with Canvass.
Francesca was very afraid when she first set up the business. However, establishing turned out to be one of the best decisions that she made in her life.
The office of Governor Doug Ducey also has something to say regarding the actions that they are taking to attract millennials back to the famous Grand Canyon State.
According to the governor’s office spokesman, the governor is doing all he can to make Arizona one of the most attractive places for work and business in the country. They also aim to make it a place fit for people who are just starting their careers. The governor also emphasizes that his office is doing everything it can to provide a platform for entrepreneurs to establish their businesses and work toward their development.
Meanwhile, state officials are collaborating with elected officials to make the state a perfect place for the working class. Some of the actions that they have taken include the following:
Passing new legislations that focus on utilizing new technologies eradicating the outdated or unhelpful old regulations.
Creating economy-based policies to attract new potential investors.
Investing in the educational system to provide the millennials living in the state with the skills that they can use in taking advantage of the new job and business opportunities that they are creating.