In April 2014, 45 percent of all homes on the market in Washington D.C. were priced at less than $500,000. Now, only a third of all homes can be bought at that price or less.
The Washington Post reports that Millennials, a generation entering its prime buying years, are facing low inventory in the area around the nation’s capital.
Mortgage interest rates have also increased half a point since November, which is causing more potential home sellers to hold onto their properties.
But even as the younger generation struggles with other financial issues such as student loans, buying a house is still an attainable achievement.
Mortgage rates are still extraordinarily low from a historical perspective, and markets seek balance over time. There needs to be a deeper level of understanding of the mortgage process, including the availability of low down payment loan programs. Millennials and anyone else can be successful buyers with planning and persistence.