The long-running narrative on Millennials has been that they are living in their parent’s basements, too crippled by debt and low-paying jobs to afford to live on their own. Quickly, though, that story is changing. In fact, Millennials have had the highest share of home buying for the past 5 years, and in 2017 accounted for 36% of purchases, according to the National Association of Realtors (NAR).
With a deeper understanding of their loan portfolios, financial institutions can minimize CECL’s impact on their income statement
Millennials’ time in the spotlight is coming to a close as a new generation gains spending power and fiscal prominence. Gen Z, which includes individuals born between 1995 and 2012, is positioned to become the largest demographic of consumers by 2020 with an expected $29 to $143 billion in direct spending power, according to FutureCast. This represents a massive opportunity for banks and credit unions to engage with a new generation now and help them manage their wealth for years to come.