Millennials are the group of people born between the 1980s and the early 2000s. Also known as Generation Y, this group is having an impact on the real estate market no one saw coming. It’s estimated that nearly 70 percent of millennials will buy homes in the next five years, making them the target audience on the real estate scene.
While everyone has their preferences when it comes to buying a home, the millennial generation has a very unique attitude toward home buying.
So, here are a few of the ways Millennials are changing the real estate market.
Millennials Prefer to Shop for Homes Online
The Millennial generation as a whole is very tech-savvy. They’ve been raised on technology, and as such, prefer to shop for the things they want (including a home) digitally. In fact, nearly 99 percent of Millennial home buyers turned to online resources when searching for their dream home with 58 percent of them finding on their mobile devices the home they eventually purchased,
They are Likely to Enlist the Help of an Agent
Despite being tech-savvy and being able to conduct their own research into homebuying, Millennials are very comfortable enlisting the help of a real estate agent. According to a 2017 National Association of Realtors report, a whopping 92 percent of Millennial home buyers bought their homes through a realtor with 74 percent saying they needed help understanding the buying process.
Millennials Want Specific Features
Like any generation, Millennials have specific wants when it comes to the homes they choose to purchase. Spacious, luxury kitchens, open floor plans, dedicated workspaces, and smart home technologies top the list of features this group of people is looking for when buying a home.
Homeownership Isn’t Permanent in the Minds of Most Millennials
While most Millennials see the value of owning a home, many don’t view their current home as a permanent residence. Compared to previous generations, Millennials remain in one place for an average of only six years before moving on to another residence.
For Millennials, Homeownership is Part of the American Dream
More than any other age group, Millennials associate homeownership with the American dream, which is probably why this group dominates the housing market at the moment. Even though most Millennials wait until later to purchase their first home, their “starter home” is typically larger than the median “move-up home” for other generations.
The real estate market must change with the times, and because the Millennial generation is the largest group buying homes right now, it caters to them. As someone looking to sell in today’s housing market, you must keep this in mind as you renovate and market your home to this unique and focused group.