Compared to other generations, millennials take a different approach in the way they do things. One of these being in how they spend their money.
According to Brightside, research show that millennials, especially those that are between 30 and 35 years old, rarely buy houses and cars anymore. As a matter of fact, they don’t buy super expensive things in general.
In the USA, people who are under the age of 35 are actually called ‘the generation of renters’.
Why is it that millennials, or modern youngsters, don’t measure success with a car or house? Some would suggest that financial problems contribute to the situation, but it isn’t the main reason behind it all.
If you compare millennials to other generations, you will see how their values have changed. The youth has reconsidered their concept of success which means:Successful people rent out apartments or houses and you’ll be considered more successful when you invest in experiences such as traveling or building startups.
It comes down to this:
- Flexibility and financial independence
According to Forbes, young people change jobs every three years on average. Now that is a lot. And if you’re stuck with a house, the chances of you changing jobs are much harder. If you rent, nothing will prevent you from moving closer to your new office. The fact is that you don’t know how long you’ll be living where you live at the moment, and if you take out a mortgage for 40 years – you’ll stay exactly where you are.
2. Investing in experiences brings more joy
James Hamblin explains the phenomenon perfectly: “Over the past decade, psychologists carried out a great amount of research proving that, in terms of happiness and a sense of well-being, spending money on new experiences is much more profitable than buying new things. It brings more joy.”
3. Material things just don’t make for good stories
People would much rather hear about your vacation in Spain than hear you blab on and on about your new house or expensive car.
Experiences make for good stories, even if it’s a bad one.
4. Buying makes millennials worry
When buying super expensive things, millennials tend to worry about their condition all the time. When you get a house, you can get robbed. When you buy a car, it can be stolen or even break down. Or catch on fire. Or get scratched. The list is endless. At least nobody can take your experiences away from you.
It’s kind of a win-win situation: Experiences won’t go down in price, it enriches your life and nobody can steal it.