Who is today's millennial homebuyer?
April 27 2017
In recent years, the buzz about millennials has been that they just aren't buying homes. But that's not what the research shows. Let's look at some common misconceptions -- and truths -- about this younger generation.
Who are millennial homebuyers?
According to the Pew Research Center, millennials were born between 1981 and 1997, and they're the largest generation in the United States. And while they are known for starting families and buying property later in life than their predecessors, they are currently the biggest group of homebuyers in the market at 34 percent. So, the notion that this group isn't buying homes right now is simply not true.
Where are they buying homes?
Traditionally, the under-36 crowd has preferred purchasing homes in urban areas, but there's a growing trend of young suburban homebuyers. Why? Finding a neighborhood that's not too far off the beaten path can often mean urban amenities, such as health food stores, fitness classes and a pedestrian-friendly downtown at suburban costs.
What do agents need to know about them?
With 89 percent of the nation's millennials purchasing their homes through an agent, it pays to know how to communicate with this growing demographic. According to a poll by Discover Financial Services, 71 percent of millennial homebuyers used email, apps or a website to send documents to their agent or lender. For them, it's not only an easy means of communication but also one that saves time.
Sixty-seven percent used the internet and apps to explore buying a home but said they still favored working with a real estate professional. In other words, even digital natives appreciate the value of an agent who can provide expertise and guidance. Learn how to communicate with this group, and you'll be better suited to grow your business for years to come.