It’s so interesting how millennials are shifting from being the YOLO generation to a generation that is wiser on their financial goals. The way millennials are actually spending and investing during the COVID-19 pandemic is vastly different than the way they managed their money in 2019.
Because of the devastating impact of the pandemic on the economy, millennials were inspired to achieve financial security and build wealth. The world’s largest and most diverse generation discovers how to create and maintain a healthy budget during the COVID-19 pandemic.
Amidst the pandemic, majority of them have recently shifted their attention towards securing their financial futures. Most of them are limiting expenses, optimizing their savings, and expanding their investment portfolios.
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Millennials no longer want cheddar, they want sustainable wealth. Their spending and investing attitudes today: goodbye avocado toast, hello annuities.
Nowadays, most millennials are investing in real estate; far from the tech savvy generation that tends to shell out thousands of hard-earned money to gadgets which satisfy them for a short while and will not last for a lifetime due to wear and tear.
With the rise of affordable house and lot due to the pandemic and economic downturn and the slashing of interests rates on monthly mortgage payments, millennials saw a great opportunity in this kind of investment.
Here are a few reasons why millennials are now investing in real estate.
Amidst the current pandemic and economic recession the world is facing, most people need side hustles to fill the void in their earnings or make ends meet. When you buy a house and lot, you do not only spend money. It is an investment that can serve as an additional income for future investments. As a millennial who is glued on the web most of the times, you can use the power of the internet to create posts online for home rentals.
Investment for the future
The demand for a more of affordable house and lot nowadays are high, and the market is selling their previous inventory at a lower cost because of the competition. Even if the real estate market returns to its previous state of stability, house and lot prices have nowhere to go but up which means the value of the property you buy today, will only increase over time, and you can attain a sizeable profit from this investment. If you have enough resources, now is the right time to invest. Here’s a free online mortgage calculator to guide you in budgeting and searching for the best deals on interest rates and mortgage payments.
Inheritance for the future generation
An affordable house and lot lasts in your lifetime. It can be inherited and passed on to your children and grandchildren and the generations after them. Inheritance is not only about the physical space your family gets, but also the memories and stories the home holds.
Own private space
Privacy is something that millennials desperately need. By being a homeowner, you have a space exclusively for you and your family. You have a private space wherein you can enjoy doing whatever you want without worrying about other people’s judgment.
Sense of fulfillment
Millennials are a generation who always seek for something that will provide them with personal fulfillment. The reason they splurge on shopping for gadgets, leisure, travel, vacation, fashion and more is for the satisfaction they can get . They love to reward themselves with something after a hard day’s work or for a job well done. But nowadays, they realize that buying a house and lot can give them the fulfillment they have always needed. There is no greater sense of fulfillment than walking through your own home, having your own place for centering – a home that you got as a result of hard work and persistence.