The Scary Trend: Many Arrogant Millennials Are Too Precious To Renovate
For a while now I’ve carefully sat back and listened, watched and observed the comments from first home buyers, parents and the market in general about the struggle first home buyers are dealing with when trying to purchase their first home.
A daunting experience; full of mixed emotions… happiness, fear, excitement, but overall: an expectation of pressure. An odd comment perhaps but let me delve deeper.
It used to be a right of passage for a young adult to purchase their first home. It was a time of great excitement and planning of the future. Grand plans to renovate and re-create, to make it their own and then share with family and friends, all while getting their hands dirty and creating new memories to last forever. In the past – a first home owners home was not often brand new, let alone glamorous. It was usually run down and needed love, tender loving care and vision.
“Buy the worst house on the best street”
their elders would say while another relative would usually serve as foreman and work colleagues pop around for a weekend painting session – their labour paid for with sausages, pizza, coca cola and a few cold ones.
The proud home owners home was filled with second hand appliances donated by family and the odd milk crate as a coffee table until they save up enough to start furnishing the home. That’s what the good old days were like, where young people would be proud of entering the market, let alone calling a place their own. Once they renovated the home and did it up then they had opportunity to use the equity in the home to upgrade or sell to purchase another. It was a ladder full of potential, but they knew they could start somewhere.
Enter 2017, where comments from first home buyers state: “ it needs too much work” or “ it’s too old” are all too common place in the open homes we host.
The first home owners budgets are now in competition to 2nd home buyers or baby boomers looking to downsize (and who have plenty more cash or equity to beat any first home owner to the keys for the home they desire). They are inspired by TV shows like The Block (the finished product however…. without the work). Pinterest and Instagram show them they must have the newest and greatest home to share with their friends on their latest acquisition… even if the bank owns 95% of it.
I hear the blame game all the time and some of the comments just make me laugh (even as someone under 30 myself). House prices are going up, there is too much competition amongst buyers… and my current favourite; “those damn mainland investors are buying our houses and taking them away from us!’ The majority of those comments are just not true. Everyone’s expectations are at fault.
It isn’t just the first home owners who are at fault either. They’ve been born into the world where “keeping up with the Jones’s” is a lifelong game of Monopoly which never ends. The lust for the latest and greatest is only good enough – and if you don’t have it, you’re judged or not accepted. Parents pick the eyes out of these houses due to the maintenance which is required… trying to protect their son or daughter (or to use as leverage to drive a home down – resulting in the child gaining resentment for the flaws of the home), however… didn’t the parent start in the same position all those years ago, purchasing a home that needed love because that’s what their budget could afford?
My advice to younger first home buyers:
There are plenty of houses that are perfect for your first home. Whilst a bit shabby and maybe not the ideal suburb you want to be in, it’s a start and a entry into the property market. Home ownership is something a young person should be proud of. Making a first purchase into a world of property ownership is a great way to build a secure future and diversify your investments. As the age-old saying goes… home is where the heart is. So don’t let your expectations go astray, don’t let peer pressure get your down because they day interest rates go up, you’ll be thanking me that you don’t have a 95% mortgage and your dream home is not looking so dreamy.
It isn’t tough for a first homeowner. Interest rates are the lowest in history, whilst wages are only on the rise. We live in the greatest country on earth, with so much opportunity to the ones who are prepared to work hard and long hours to achieve a leg up… and that is my problem. Instead of going out every weekend and spending hundreds of dollars on grog, why don’t you have a night in, for a couple of years. Because it isn’t that the market is making it hard for first home owners to purchase… the first home owners expectations is what is making it hard for themselves Until their expectations change, they won’t be purchasing a home for a while.