Attention aspiring millennial homebuyers: You may have to deal with that pesky roommate or overbearing landlord for a lot longer than you think.
A recent survey conducted by rental search site Apartment List found that millennials looking to buy and who want to put down the recommended 20% on their first home may have to save, in some cases, for more than two decades.
The researchers looked at the average self-reported savings rates of millennial respondents and compared it against the median condo sales price in the major metro areas where they live. Here’s a breakdown (courtesy of CNN Money) of how long it’ll take to save for a 20% down payment (and start adulting!) in some of the nation’s biggest cities.
• Miami: 6.3 years
• New York City: 8.3 years
• Dallas: 9.3 years
• Houston: 10.8 years
• Washington, D.C.: 11.6 years
• Boston: 15.2 years
• Denver: 16 years
• Los Angeles: 20.7 years
• San Jose, California: 23.9 years
The results should come as a wake-up call to homebuyers who may not have a realistic sense of how long it takes to save, and how much putting down 20% really amounts to. Apartment List’s data found that nearly two-thirds of respondents will have to save for more than five years to reach just a 10% down payment.
So if you were hoping to own in just a few years, you may need to rethink your plan a little bit. Renting may prove to be the smarter option in many cases anyways. And if all this news has you feeling a bit overwhelmed (and you’re willing to move to make your home-ownership dreams come true), make sure to check out the top 25 cities for first-time home buyers.