Millennials have a strong influence on the current housing market. As more members of this generation look to buy their first home, the real estate industry needs to understand what they are looking for.
Some of the most common complaints about buying a property, such as nosey neighbors or a lack of outdoor space, are not generally a big priority for millennials. So what type of issues are they concerned about and what shapes the millennial property buying experience?
The Knowledgeable Generation
One of the first things to say about millennials, when it comes to purchasing property, is that they are well informed. They are quite at home using technology to do all of the necessary research to find their perfect home. This ability to carry out research is set to shape the housing market for the future. Property buyers will be more well informed than they have ever been.
The Need for Affordability
More than ever, there is a need for affordability for people who are buying their first home. Millennials already have to cope with debt that has built up from their college studies. They cannot afford to take on huge mortgages at the same time. Generally, they have already spent more time living at home with parents than previous generations, to save up for a deposit. In addition to affordability, there are other factors which millennials are likely to consider as high priority when purchasing a property.
Congregational Living Space
Many millennials are choosing co-living as an option. They are setting up communal homes where they share expenses. Even millennials who do not select this option prefer to purchase properties where congregational living space is available so that it’s easier to entertain their friends. This means that they tend to prefer large kitchens and open plan living areas.
Upgrades Already Completed
Unless they are looking to invest time in renovating a complete fixer-upper, millennials usually look for properties where upgrades have already been completed. This is because they have typically invested a substantial amount of their savings in the initial deposit for the property. They do not have a large budget to put towards significant renovations, such as installing a new bathroom or kitchen.
Office Space at Home
Technology allows many members of the millennial generation to work from a home office. This means that any property they invest in needs to have a ready-made office available or at least the space to create a home office.
Whether it’s in the office or at home, culture is everything to millenials. Most millennials prefer apartment or condo style living but that doesn’t mean that they wouldn’t be dealing neighbors. Barking dogs, loud noises, flashing lights, and more are definitely pet peeves that almost anyone has. But some communities are better about keeping those nuances to a minimum.
Eco-Friendly Energy Saving
One of the biggest concerns for many millennials is energy efficiency. They want a property which is going to be affordable when it comes to energy bills. They also want to play their part in protecting the environment. This means that properties which rely on renewable energy sources, such as those that have solar panels, are popular with millennials.
Technology-Friendly Living Spaces
More than any other generation before them, millennials rely on technology. This is why they need a living space which is tech-friendly. For instance, there needs to be good cell reception and smart systems installed.
As many as 99% of millennial property buyers make their purchasing decisions online. They do their research so they know exactly what they want. They look for a property which has plenty of congregational living space is eco-friendly and enables them to embrace their love of technology.