Millennials have officially made their entrance into the housing market.
Millennials, the generation of people now in their mid-20’s to late 30’s, were burdened by the financial crisis as they started their young adult lives, delaying major milestones such as marriage, having children, and purchasing a home. However, according to the National Association of Realtors 2019 Homebuyers and Sellers in Generational Trends Report, “Millennials actually represented the largest cohort of homebuyers at 37%, in 2018.”
According to an article by the Baltimore Sun, millennials have already began to show trends in what they are looking for when buying a home. Check out the common trends in the housing market for millennial buyers below:
WHAT THEY WANT:
Smaller homes. Higher priced homes are not as popular among millennials. They will happily settle for smaller homes such as townhouses in order to save money. They also have less need for multiple bedrooms due to the fact that they are having historically less children than previous generations.
Move-in ready. Millennials lack experience with buying and renovating homes so they are more likely to be interested in a move- in ready home, rather than a fixer upper.
Sense of Community. Millennials are more interested in purchasing smaller homes in cities and bustling neighborhoods directly outside of city lines where there are lots of restaurants and stores, than in rural areas or suburbs. This is because they want to experience the nightlife, while also having the convenience of everything they need within walking distance and/or available by bus, bike, or, ride sharing. Millennials also don’t prioritize short commute times like older generations do. Having a long commute is a sacrifice they are willing to make if it means getting to live in their desired neighborhood.
Pet-friendly. Millennials commonly do not sacrifice on their pets. They gravitate towards homes with yards for animals to play. According to The Baltimore Sun, Millennials find pet-friendly homes, especially ones with somewhat of a fenced-in yard, to be more important than homes with guaranteed parking.
Amenities. A large majority of millennials are used to living in rentals where they have access to amenities such as fitness centers, pools, rooftop decks, and more. When looking for homes, they commonly do not want to give up on such luxuries, or have to pay for memberships to access them outside of their home/building.
Content Inspiration: “Millennials now home in on housing,” by Michele Lerner, The Baltimore Sun
