As a Millenial I see there are many issues with today's society. The biggest is that Millenials have an average net worth of $8,000. It's shocking and has been reported by many in the media. It's hard to imagine that homes in Denver cost $500,000 and that $8000 is nowhere near what a person needs to put a down payment down on a house. Go into California and every house is $700,000 or more in the Bay Area and much of the state has overpriced Realestate.
Even if this post doesn't get much traction it's cathartic to get it out how I'm feeling to the internet. I am scratching my head at how little money people my generation have. Millenials are 80 million people now almost one third of the US Population, but our buying power is limited. The average Millenial has almost $12,000 in student debt compared to a Boomer who's average student debt runs just $4,000 this is according to the Federal Reserve. It's shocking and the Fed has said buying power of Millenials is the same as in 1998 when our parents were our age. The Fed highlights that in 2016 dollars Boomers and Millenials earn $49,500 in terms of 2016 dollars comparing our salaries to our parents salaries in 1998.
- From the Federal Reserve Article at the bottom of this article
With Millenials burdened with large debts like $60,000 or $500,000 in some cases of my peers in Student Debt. I don't see a path to prosperity for much of my Generation. Having just a net worth of $8000 or even if we double it to $16000 is not enough to put a down payment on house in Denver Colorado. You would need $100,000 and saving $92,000 will be extremely hard for the average millennial to attain when they have student debt and normal living expenses to pay for.
Something isn't adding up for me. I don't even have the answer. I just keep scratching my head as how homes got so expensive in the US when no one here can afford them? One could blame China or foreign investors. We could also blame people purchasing multiple properties to rent out to others, as a cause for the supply shortage and increase in price. It's still mind boggling to me that basically 80 Million people don't have a realistic shot at home ownership in the United States. I would guess about 70 Million of the 80 Million Millenials are never going to own property in their lives unless they inherit or win the lottery. There's an insane problem to generating wealth for our generation.
I hope that Progressive like Bernie Sanders, Elizabeth Warren, and AOC can bring about change. The numbers are shocking and my estimates because of the people I know, which is several hundred Millenials in California most here don't have much savings to afford a home or start a family. I wish home building would be prioritized in the US. Foreigners should not be able to pump up Realestate values making it unaffordable for Millenials to buy property. There needs to be serious home building and creation reform if Millenials are to prosper now.
https://www.federalreserve.gov/econres/feds/files/2018080pap.pdf
https://www.businessinsider.com/average-millennial-net-worth-compared-to-other-generations-2019-5