Saying the words ‘Millennials’ and ‘home ownership’ in the same sentence usually has mixed results – especially with experts lamenting them for not jumping into the real estate market in droves. Millennials have been the primary marketing focus of almost every business model in virtually every industry. This is mainly because they are the largest generation in history and they stand to inherit an estimated $30 trillion in assets in the greatest wealth transfer in history. So it’s understandable that they have everyone ready to pounce on their purchasing power.
This is a generation unlike any other in the sense that brands still haven’t completely figured out what makes them tick and how to market to them – and it’s no different for the real estate arena.
The challenges Millennials face in real estate
Nobody said the path to homeownership would be easy for Millennials. They face rising rates, repeat buyers, hot markets, and stiff competition in the form of bidding wars and listings that end up going over the asking price. Not to mention a generation that is notoriously riddled with debt. Therefore, there’s no shortage of headlines questioning how they will approach real estate.
However, in January, Millennials represented around 45% of all purchase loans, which suggests that they aren’t as shy with making the plunge as some pundits make it out to be. This lucrative and monumental generation is undoubtedly the future of real estate – and it’s important for agents to understand what they want and how to deliver.
Consider these three areas on how to win over the hearts of Millennial homebuyers.
They are Social Fiends
“Millennials look to social media for an authentic look at what’s going on in the world – especially content written by their peers whom they trust.” – Forbes
Having a consistent and engaging social media presence is a quick way to gain credibility and also serve as a direct artery to the eyes of Millennials. What else helps with that? Blogging. Blogs are the ultimate online relationship builder and can really ignite the bonds of authenticity and trust between a Millennial buyer and an agent.
With Millennials essentially using social media as an extension of themselves, it presents a perfect opportunity to leverage our social intelligence feature to get a holistic sense of what types of content they engage with so you can better speak their language.
The Art of Staying in Touch
Millennials are 40% more likely to stay in touch with their agent and 55% more likely to recommend their agent, compared to older generations. The Millennial consumer is deeply embedded in the sharing economy as they tap into their peer network to share reviews, stories and consumer reports with one another to help with their respective buying process.
They want agents to be socially conscious and to appeal to them on a digital level – and essentially to be their strategic partner for the long haul. In return, this traditionally loyal group will speak glowing words to their peer groups and will take to social media to give glowing reviews.
The easiest way to stay in touch with this digitally savvy generation is to connect on the mediums of their choosing: primarily email and via social vehicles. Remembering important dates, following up with tradesmen for jobs around the home, inviting them to BBQs and just reaching out to say hi helps further cement the foundation for a long-term relationship.
They Come Prepared
“Millennials will research and compare real estate and lender offerings, but they will go further, often shining a light on a firm’s structure and social consciousness.”
This is a well-educated group that has an arsenal of questions to ask. They read online reviews, research trends, they consult the advice of friends and family, and they interpret information before making the best possible decision. They are also more likely to consider more than one agent than their older counterparts, meaning that, as a real estate agent, you need to be well equipped with your A-game to handle their gauntlet.
A trick to connecting with this demographic really isn’t a trick at all – it’s remaining authentic. Authenticity will help you tap into their sphere of influence and earn their business and referrals. It also helps to have the technology in place that serves as the nucleus of all their preferred communications.