First, they said it was avocado toast, then it was pumpkin spice lattes that were holding millennials back from buying homes. Now, the latest reason millennials aren’t buying homes? Houseplants.
A new report in Money.com looks at the expensive millennial habit of sprucing up rental spaces by being a “plant parent,” highlighting the millions that the age group spends a year on various types of indoor greenery, like potted trees, trailing vines and Instagram-friendly succulents.
One individual had already spent a total of $1,500 on about 30 plants and was looking for ways to cut costs, cutting out coffee shops and cooking at home more often — not to save up for a downpayment, but to save up for a $250 cactus.
The report cites a study from the 2019 National Gardening Association that found millennials account for a quarter of the $48 billion spent annually on lawn and garden products, despite having a lower household income than older generations.
In actuality, millennial spending habits have a lot less to do with being able to afford a home, when compared to record levels of student and personal debt.
The rise in student debt – which more than doubled from 2005 to 2014 – resulted in 400,000 fewer young people owning a home, according to a study published last year by the Federal Reserve.
The homeownership rate for individuals between 24 and 32 years old in 2005 has declined 9 percent overall in the last decade, from 45 percent to 36 percent, with slightly more than 20 percent of that decline attributed to rising student debt.
Create your own success story at Inman Connect New York, Jan. 28-31, where over 4,000 industry professionals gather to forge new relationships, share tactical takeaways and discover the latest technology to boost their bottom line.
Thinking of bringing your team? There are special onsite perks and discounts when you buy tickets together. Contact us to find out more.