Millennials constitute 43 to 47% of home buyers, currently the highest percentage of all age groups. Millennials are considered anyone born from 1981 to 1996; the majority of older millennials are currently between the ages of 34 to 42.
According to the Arizona Pathways to Life Success study, 29 is the median age for millennials buying their first home, an age significantly older than previous generations. In fact, 80% of millennials are first-time homebuyers.
I’m a real estate agent. What should I know about working with millennial homebuyers?
Housing prices have risen substantially over the past decade and wages have not jumped at an incidental rate. As a result, millennial consumers have waited longer to purchase a home. After graduating college, many millennials moved back home with their parents to pay off some (or all) of their student loan debt. To compound this challenge, millennials have struggled to find high paying jobs.
Today’s millennials will typically look for homes that will cost between $100K- $200K. Among millennial buyers, 27% pay around $200,000 and 29% pay around $399,999 while 10% spend between $300,000 and $399,999 on first time home purchases.
What kind of houses do millennials want?
Millennials are especially attracted to spacious, inexpensive houses in the suburbs. While they want the possibility of public transportation, they’ll value locations that benefit their young families, such parks and well-rated public schools.
Millenials who grew up with smart technologies in their parents homes are likely to want their own homes equipped with gadgets like smart locks, security systems, and Nest thermostats that can be linked and monitored through a website or app.
Read this article for more insight into the millennial demographic and how to connect with them on a personal level.
How can millennials benefit your business in the short term and long run?
Millennials who are first-time buyers are a lucrative group for real estate agents to pursue because they can lead to many years of repeat business and valuable real estate referrals.
IXACT Contact real estate CRM is the tool that will help you secure more first-time homebuyer business. The system comes pre-loaded with a Monthly e-newsletter, drip email campaigns (including one specifically for renters considering purchasing their first home) and a mobile-friendly Agent website.
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