More Couples Buy Home Before Marriage [AUDIO]
More millennial couples are purchasing a home before getting married.
That's according to a new study by Coldwell Banker Real Estate, which found that one in four married couples between the ages of 18 and 34 purchased their first home together before their wedding date, compared to 14 percent of those ages 45 and older.
"We found the millennials to be quite pragmatic," said Dr. Robi Ludwig, Psychotherapist and Lifestyle Correspondent for Coldwell Banker Real Estate. "First of all, they're getting married when they're a little bit older, they're very career-minded and they've grown up in economically challenging times."
"So, I imagine the thought process is 'let's be smart financially and if the opportunity is there to purchase a home, let's move forward and do that.'"
According to the study, 35 percent of all married couples bought their first home together by their second wedding anniversary and 80 percent of married homeowners who purchased their home while married said it did more to strengthen their relationship than any other purchase they made together.
Among the trends discovered in the study:
- New Homes for Newlyweds: More than one in three married homeowners (35 percent) purchased their first home together by their second wedding anniversary.
- Cold Feet? Not These Couples: 17 percent of all married couples surveyed purchased a home together before their wedding day.
- Millennials are Less Likely to Wait Until Marriage: 24 percent of married homeowners ages 18 to 34 bought a home together before they were married, compared to 14 percent of those ages 45 and older.
- Southerners Take Their Time: 72 percent of married Americans in the South waited until after they were married to purchase a home, compared to 60 percent of Americans in the Northeast.
- To Have and to Hold … and to Own: Only 16 percent of married U.S. adults have not purchased a home together with their current spouse.
"One of the major issues that comes up with many couples in my practice is financial stability. Many people don't feel comfortable moving forward with marriage unless they feel they have a good financial foundation," said Dr. Ludwig. "If you think about the process it requires to successfully buy a home, you need to be financially transparent and you have to be on the same page, so there's a lot that goes into purchasing a home."
"If you can successfully navigate that process, it means you have pretty good skills as a couple which obviously helps when you're married."