How is Millennials Influencing Real Estate?
The real estate is a market that is constantly undergoing drastic changes. One of the reasons for this is the emergence of the new generation and a change in the social attitudes of the people. This has led to the number of first-time buyers to go down as they keep delaying the actual purchase. This can clearly be seen with the millennial generation. Statistically, this generation is between 1980 to early 2000 born, which makes them a packed demographic group as the number rises till 75.3 million. This group is well-educated with diverse sensibility regarding the purchase and consumption when compared to the previous generation. The Millennial generation, therefore, influences the real estate market greatly and more importantly, they have an impact on the way different properties are traded.
The new Tech Savvy Millennial generation:
The internet was gaining prominence when the millennial generation was growing up, hence; they have a greater understanding of the technology. The internet has opened doors for them and they have explored every aspect of it. From purchasing food, clothing to purchasing real estate property, everything is available on the internet. According to, to the experts, the brokers and anyone else involved with the real estate industry will eventually have to adopt the internet as a mode of communication that enables them to connect with this prominent group. Having a website where a potential buyer can browse through the properties has become imperative. Incorporating features like e-signature, mobile apps, virtual tours, and online marketing have become of the utmost importance. This also shows how the transactions are conducted in the real estate scenario today.
Bypassing laptops and computers, the Millennials are constantly on their smartphones. Nowadays, apps have become the preferred mode of research. A simple app mentioning required information is what they want. Social media is another portal that they are active on.
Are Millennials Conservative?
Though the Millennials are changing the market scenarios the main question that comes up is, are Millennials conservative? According to experts, even though they are tech-savvy, they still have an extremely conservative approach where real estate is concerned. It has also been observed that this group is keener on owning their own house compared to the boomers or even Gen Xers. Yet, they are more apprehensive when it comes to purchasing and owning the house. One of the biggest reasons for this is that they are learning from the previous generation’s mistakes. The other reason is that Millennials complete their milestones later in life. Therefore, they keep pushing to purchase a home for later years.
Though they are conservative and apprehensive, there is no denying that the millennial generation has influenced the real estate market in a huge way. Being well-education is one of the factors that have enabled them to create an impact. Among any segment, it is the millennial generation, which is very well-educated. Both boomers and Gen Xers were not this educated and aware this result in the Millennials being more caution while investing in real estate. They have done their homework and, therefore, are prepared. It is the job of the real estate marketers, brokers, lenders, and the professionals to ultimately adopt a thinking that is in sync with the Millennials....