Generation Z

writes the Senior Economist for LendingTree

Gen Z and millennials are more willing to take a higher mortgage rate in order to buy a home than Gen X and baby boomers, the ServiceLink report found.

While several communities offer monetary incentives to attract new residents, some are making overtures with down payment and other types of assistance aimed at building up their local housing markets.

Gen Z homebuyers make up a 21.26% share of purchase requests in the top five metropolitan areas.

The bottom five metropolitan areas have an average share of mortgage purchase requests from Gen Z homebuyers of 9.29%.

Younger customers want personalized engagement, including in their music playlists, experts said at American Banker's recent Digital Banking conference.

While paying off existing loans is their most immediate priority, buying a house is the No. 1 aim within five-to-10 years, a FinLocker survey found.

Mortgage companies are using AI and other tools to reach those who expect nothing less than a super-personalized and interactive experience from their online services.

But a large gap exists in the degree of energy and investment depository institutions put in their customer acquisition efforts versus nonbanks, according to Arizent research.

Just under half of respondents in a recent mortgage study said cost of living increases have impacted their ability to make a home loan payment in the past six months.