Many research studies have shown that members of the millennial generation have a penchant for things that they can achieve quickly and instantly.

They have this tendency because they grew up during the advent of the seamless internet connection and the digital gadgets era, which allow them to conduct all sorts of transactions – from transportation, food and beverage purchases to clothing and grocery shopping – quickly and easily.

Applying for mortgages, meanwhile, requires a long process that runs counter to the instant and quick transactions to which these millennial individuals are accustomed.

Besides liking instant shortcuts, millennials also prefer to blow their money on activities and products that constantly offer them novel experiences, instead of investing their money in long-term necessities. For example, they would rather spend their money to travel to unusual locations, to try different coffee flavors, or to attend music concerts instead of investing it to buy their own houses because the former activities offer them instant, rich, multisensory experiences.

Their different priorities lead millennials to allocate more money to leisure activities rather than long-term investments. They also keep postponing applying for mortgages because they assume that applying for one is a business reserved for established and mature people only.

In truth, the only obstacle that individuals from the millennial generation face in applying for mortgages is their own lack of courage. They tend to be doubtful, if not afraid, to make such long-term commitments. “Would I be able to complete paying the installments within 20 to 25 years?” they might be asking themselves. Besides that, they are also anxious that paying these installments would require them to sacrifice their leisure activities, thereby cutting back on their trips abroad or spending less time socializing.

In fact, if only they are courageous enough to start applying for mortgages, they could actually afford them. For instance, if you currently spend Rp 100,000 each time you socialize with your friends in cafés and you allocate that much money three to five times a week for that, you would spend Rp 300,000 to Rp 500,000 per week, resulting in blowing Rp 1 million to Rp 2 million per month just to hang out with your friends. That does not take into account your other lifestyle spending.

If only you save just a little amount of the money you would normally spend on these lifestyle activities, it is possible for you to start applying for mortgages. You have to change your mind set a little bit, perceiving it to be cool to have your own house at such a young age.

Besides being cool, having your own house would grant you various financial benefits: If you decide to settle in your own house, you can also allocate the money you use to pay for your rented rooms for mortgage installments instead, or make a passive income by renting it out. Plus, you can also put your house up as collateral to borrow money from the bank or take a second mortgage to sell it to a different owner.

The price of your house will also constantly increase. After 10 to 15 years, your house’s price might double or triple, so you can also gain a lot of profit should you decide to sell it later.

What solutions does BNI offer to millennials and the general public to overcome their fears in applying for mortgages?

Currently, state-owned lender PT Bank Negara Indonesia (BNI), through its mortgage program BNI Griya (BNI Mortgage), is organizing a campaign called #AmbilLangkahBerani (take a courageous step), the main objective of which is to persuade the millennial generation, as well as the general public, to muster up the courage they need to buy their own houses.

What are the advantages that BNI Griya offer, especially to millennials?

BNI Griya has a long tenure period, during which customers could complete their installments within 25 years.

BNI Griya has an angsuran suka-suka feature, which allows you to determine your own installment amounts based on your financial situation. Therefore, you can pay for your mortgages without having to alter your lifestyle drastically. To decide on the installment amount that suits you best, take an online simulation at bni.co.id/id-id/personal/simulasi/bnigriya, which will help you measure the amount based on your current income and spending.

BNI Griya allows customers to apply for the program the instant they open a BNI account.

BNI will not block consumer bank accounts that have balances equal to three to five installments, a typical mortgage practice among other banks.

The BNI Griya loan can be used to buy either new or existing houses; it can also be used for house construction, renovation, refinancing, top-ups and takeovers. It is also eligible for the BNI Griya Multiguna (BNI Multipurpose Mortgage), which provides debtors credit for consumptive purposes, using their houses, apartments or shophouses as collateral.

The BNI Griya’s advantages, mentioned above, make the program suitable for millennials who dream of living in their own houses at a young age with youngster-friendly installment schemes.

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