#SDVIPAgent Rod Watson here to talk about my experience with the generation divide I’ve personally witness when selling homes for millennial buyers vs Boomers.
There exists a large divide in the current real estate market due to the large percentage of properties being sold by baby boomers, older generations, and their offspring. A lot of these homes are not appealing to the social media influenced millennial demographic who are more apt to be impressed by the latest gadgets and toys. In contrasts, many boomers don’t have the knowledge or time to make the necessary upgrades to the short attention span millennial and this comes at a cost to these owners.
The Millenial Buyer
Millenials are unlike anyone you have ever seen, they want instant gratification and instant results personified in their desire for “move in ready” features including the following:
Open Floor Plans: Specifically the family room and kitchen area. They want to be able to use their space efficiently.
Home Office or Media Room: Millenials want a space that can be used for work and entertainment. A well lit open kitchen with well finished stainless steel appliances, cabinets, solid surface, countertops should do. Walls should have color schemes with subtle whites and greys with with furniture having that splash of color. Hardwood floors are a must and carpets in the bathrooms are a no no. Storage space and pantries are also popular for the action sports enthusiast or luxury car owner.
Barriers For Boomers.
The majority of boomers do not have the needed experience or time to prepare their home to be sold. Key issues to sale of their home usually include:
Identifying repairs and getting the home to meet code. Millenials hate when they see a home they love only to find out violations have been flagged during inspection time.
Improper analysis of the property may also be an issue: Not determining the proper budget to fix the issues that need fixing before sale can be a catastrophe that causes more time to be lost and of course the loss of an excited young buyer.
Assessing which features will impress the young buyer and what curb appeal best presents the home in the best light is a must.
The Millenial Movement Is Not Going Anywhere
According to data presented at the National Association of Home Builders’ annual conference, millennials now account for 36 percent of U.S. home purchases, compared to 34 percent of baby boomers. Millenials are demonstrating a desire for larger homes and more bedrooms, a calling card for a luxury home seller. 48% of them say they want a home with four or more bedrooms in contrast to only 20% of baby boomers who want a large home. The ideal home millennials want is 2,375 square feet compared to just 1,879 for baby boomers.
As this new generation continues to demonstrate their unique needs as agents we must be prepared. If you are no making these considerations already, do it and don’t get left behind.
Sources: “Cater to Boomers or Millennials? Homebuilders Caught in Between,” The Dallas Morning News (Jan. 21, 2016)
Epilawg.Com. ERIC HOPF / AUGUST 4, 2016