The Price of Real Estate

Census data speaks volumes about the uphill battle millennials face in achieving homeownership dreams. The numbers tell a tale of soaring home prices and stagnant wages, creating an increasingly challenging landscape.

Over the years, home prices have surged by a staggering 118% since 1965. Meanwhile, wages have grown a mere 15% during the same period. This stark contrast paints a vivid picture of the affordability crisis we're grappling with.

​The math is clear: To afford a home in today's market, millennials need an annual income of $144,192. This figure is double the median household income. The disparity is glaring, and it's no wonder why homeownership seems like an elusive goal for many.

​For those without this substantial income, the journey becomes longer and more arduous. Saving becomes an enduring struggle, and the path to becoming a homeowner extends far into the future.

​The challenges are even more pronounced for first-time homebuyers. Without the advantage of capitalizing on soaring property prices and building equity, they face an additional hurdle on their path to building wealth.

​Helping first time homebuyers plan and save is one of the many personal finance issues we work on here at Axis Capital. If you are interested in learning more, schedule a time to talk.