The Cheapest Generation: Why Aren’t Millennials Buying Cars or Houses?
What if Millennials’ aversion to car-buying isn’t a temporary side effect of the recession, but part of a permanent generational shift in tastes and spending habits? It’s a question that applies not only to cars, but to several other traditional categories of big spending—most notably, housing. And its answer has large implications for the future shape of the economy—and for the speed of recovery.
Read more. [Image: Kagan McLeod]
It’s safe to say that a decent number of Tumblr users are a part of the Millennial generation. So, tell us: Do you own a car or house? If not, why?
IT’S BECAUSE THEY HAVE NO DISPOSABLE INCOME YOU THUNDERING IDIOTS. Fucking preference has nothing to do with it. 50% of college graduates have no job! They all have the most student loan debt ever! What are you asking this question for?!
Also: housing is a good bit more expensive now.
My parents got a 15-year mortgage on a new house in the mid-70s. The house was $32,000. Average home price in that area now? $190,000.
To be fair, though, I think the point still stands that it is a preference founded and perpetuated by the lack of disposable income available to our generation, as well as kind of an awareness of the future?
Not only did we live through the recession and learn by experience, but we also had the ability to see how the economy affects people who previously had totally-founded financials. We saw our neighbors and parents all struggle and spend their savings, and I think we all took that in.
Why do you think YOLO is so popular? The idea of living in the moment is a strong driving force in our generation, because we don’t know, can’t know, what will happen the next day, politically or economically. Millenials have seen the faults of both people saving every penny and people not having any to their name. We’ve developed into a generation that uses what we have, while we have it, because who knows, the next day could be worse than today.
This is a general statement, of course, and that’s not to say that millennials are irresponsible or bad with money. This generation is no more irresponsible than the generation before. We’re living within our means, spending and saving according to social, cultural, and political trends.
Our generation has limited access to money, with seemingly increasing debt and bills. We do have less money to save, but at the same time, we have more incentive to spend what we do have after bills are paid.