Millennials are the largest generation since the Baby Boomers, and despite stagnating wages and crippling debt they are poised to take over the housing market. They make up 66% of first-time home buyers and 34% of all home buyers, so it’s especially important to pay attention to what they are looking for in a home purchase.
In short, Millennials want to buy a place that is move-in ready. Saving for a down payment on top of paying their student loans was tough – many say it was the hardest part of buying a home- and they aren’t going to have any cash for upgrades or repairs for quite some time. And move-in ready has a totally different definition to this generation than it has had to previous generations.
They want eco-friendly upgrades like replacement windows, solar panels, and energy efficient appliances. Rather than being a perk these things are a must-have. They also want updated kitchens and baths and open floor plans and a home office.
They don’t plan to stay there for long but they want everything to be perfect since they plan to sell in just a few years. The average length of time Millennials keep their first home is 6 years, while the national average is 10 years. Millennials tend to see their first home as a starter home that will help them build equity on their way to getting their “real” home.
So how can you attract Millennial home buyers? First, online research is crucial. This is the generation that researches a sweater for 10 hours before buying it, so researching their perfect home is even more extensive. Great photos really paint a nice picture, and if you can include any sort of virtual reality or video tour you will attract a wider range of potential buyers.
Things you might not even think of, like cell reception and internet availability, might make or break a home sale. Millennials also want to be close to the city but not in the middle of it – the suburbs still rule. And finally, they are often looking for a location that is close to work, so locations near major employers are going to be an easier sell.
Learn more about the new wave of Millennial home buyers from this infographic. You might be surprised to learn that they are much more traditional in their beliefs about The American Dream than you might have imagined!