Millennials have taken over the housing market in recent years and now make up the largest percentage of homebuyers, leading the pack. Millennials, who are now aging into young adulthood, are looking for a place to call their own, ditching their city living for suburban family life, and they’re sweeping the market to do so. So, what sets millennials apart from any other generation of home seekers? The answers are very, well, millennial.
Millennials Are in No Rush
Unlike their older counterparts, millennials are young and flexible enough to spend a lengthy amount of time shopping for a home without severe repercussions if they don’t find one immediately. On the other hand, older generations may be scrambling to find a suitable home for their family or retire.
Many millennials have also expressed interest in only purchasing newer developments rather than older homes that might require a fix-up. This means they may be waiting for new housing to be built and move-in-ready, which can take months to a year. Nonetheless, it’s a luxury to have all of that time without the pressure.
Technology Beats Charm
Statistics show that a majority of millennials want a home that boasts smart home features, not necessarily old-school characteristics. Therefore, they are willing to wait for a home to come on the market that features smart features already installed or at the very least has the capability to do so.
Picking up on this trend, house flippers are snagging older homes and renovating them with smart home technologies to help draw millennial buyers willing to pay high prices for the updates. Technology is a significant part of the millennial lifestyle today. From staying connected to friends and families online to working remotely, it makes sense why millennials would want their home to be on the same wavelength too.
Millennials Know What They Want
In the age of Pinterest boards and endless social media scrolling, there is plenty of inspiration floating around these days. Because of this, millennials know exactly what they’re looking for and won’t settle for anything less. Therefore, we can expect them to be headstrong, a great asset in the home buying process when narrowing down options. Though sometimes, it can be a detriment when nothing matching exactly what they want is available.
It’s no secret that sustainability has become a mainstream topic these days. With that being said, the movement has become woven into housing too, growing popular among millennials. Green housing includes homes that source renewable energy like solar panels in warm climates or wind and water-powered energy in cooler or coastal cities. If waiting until a home can be fitted with renewable energy is a must, millennials are willing to do so. This notion aligns with the above idea that millennials are in no rush – they’re ready to wait until the perfect property, checking all the boxes, including green living.
Online Home Shopping
Another thing millennials are looking for that other generations has not quite expressed the same amount of interest in is the online home buying experience. Because this age group is so comfortable with the digital experience, they prefer all aspects of their lives to be on there, including home shopping. Though in the age of COVID-19, most of the world turned to online shopping for homes as well, it appears the trend will stick for millennial homebuyers as nearly 60% of millennials prefer to shop for homes online.
They Research Everything
Millennials are notorious for searching for everything they intend to spend money on. From reading reviews for restaurants they’re thinking of eating at to a business’ mission statement before they shop there. And the same goes for their home buying process. You can expect younger homebuyers to research everything from their perspective agent’s social media activity to the school district their future kids may grow up in, even if they’re unsure whether they want kids yet. This isn’t to say that other generations don’t do this, but it is overwhelmingly common for millennials to do it with ease.
While some homebuying trends are common amongst all generations, such as wanting a safe neighborhood and a good deal, millennials are vastly different in other areas. As more millennials and the subsequent Gen Z population enter the market, we can expect the house buying model to shift in order to adapt to the majority. From articles like this one to major companies hosting virtual houses online, all of the signs indicate that we’re headed in an exciting new direction!