California Is The Toughest State For First-Time Homebuyers
California’s rising home prices have effectively priced out most young buyers.
Through a new report from Bankrate.com, CNN Money says that California is the toughest state for first-time buyers based on affordability, inventory levels, lending environment, home ownership among 35-year-olds, and the job market. While current homeowners have the advantage of built-up equity, first-timers find it difficult to save for a down payment.
Buyers in the Golden State face low affordability, tight inventory and high unemployment among workers ages 25-34. "Millennials have been squeezed financially in a number of different ways," said Claes Bell, an analyst at Bankrate.
Other states that are bad for first-time buyers include Hawaii, New York, Louisiana, and Mississippi. On the other end, Iowa, Utah, Minnesota, Kansas, and Missouri are the easiest states for young adults to buy a house.