WASHINGTON – Despite the cynicism and the contrary reports, the American dream is alive and well, especially for millennials. And your ultimate goal to reach the American Dream? Home Ownership
However, a recent Bank of the West study has found that an overwhelming number of millennials (aged 21 to 34) risk their retirement to pay the down payment on a white picket fence.
"Millennials are so eager to become homeowners that some accidentally cut their necks to defy their faces," said Ryan Bailey, head of the Bank of the West Retail Banking Group, in the report.
"The fact that nearly every third person who already owns a house has retired to pay his down payment is alarming, and with careful financial planning, millennials can have it all ̵
The study found that the onslaught of millennials has led to some resentment.
about 68 percent have expressed their remorse. Forty-four percent are not satisfied with the room itself, feel stuck in one place, have discovered damage to the house or realized too late that the room did not work for them. Another 41 percent feel they have become financially thin.
"A white picket fence can certainly be a wise investment.To avoid the buyer's remorse, millennials should cover their bases and kick the proverbial hoops – think about their physical and financial wants for a home before getting on the dotted line sign, "said Bailey.
Millennials also seem hesitant (19659002) 66 percent say they feel safer about keeping their money off the stock market and 42 percent divert real estate.
The study cites the financial crisis as the main driver, with 65 percent saying the Bank of the West that the crisis has made them more conservative investors.
"Millennials have put their savings under the mattress rather than earning their income through strategic investment," Bailey said. This may seem safe, risking their goals by having cash on hand. While they are young, the Millennials have time on their side and could miss a chance to grow their savings for life.
Read the full Millennial Report of the Bank of the West (PDF)
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