The Millennial generation represents the largest share of homebuyers, according to a generational trends report by the National Association of REALTORS®. Weighing in at 32 percent of homebuyers, millennials are looking for different needs in a home than their predecessors. According to REALTOR Magazine®, these are the top wants of millennial homebuyers.
Millennials are spending-savvy, especially when it comes to their home purchase. After seeing parents reel from the recession and facing the repayment of their own student loan dent, millennials want affordable, budget-friendly houses without going into their maximum approved purchase price.
This generation is extremely waste-conscious. With that being said, they're looking for homes in which every space has a purpose.
Millennials see their homes as an extension of the rest of their lives, not just a place to go after work. So they want casual and flexible spaces in a home that can be customized to fit their needs, whether that be a play room for their children, a home office, a home gym, man cave, or an extra bedroom.
Ten percent of millennials who purchased a newly-built home said they purchased new for green/efficiency reasons, according to an NAR study. Think new appliances, sustainable building materials, and energy-efficient LED lighting.
It's no surprise that this generation of homebuyers want their homes to be a hub for entertaining family and friends. Open floor plans, fire pits, game rooms, outdoor living spaces, and "man caves" appeal greatly to millennials.
Location, Location, Location
These young homebuyers place importance on being close to urban necessities and entertainment. Home serves as a base for these active homebuyers and they're willing to compromise home size in order to be closer to certain amenities.
Growing up in the age of technologic advancement, millennials are accustomed to having things done in an instant. This generational trait transitions into their housing preferences, as well. The more a seller has done, the better. Millennials want updated and upgraded homes, and they want it done before they move in.
Millennials work long hours and have lots of interests outside of the home, so materials that require minimal time and care are key. For example, they prefer tile, laminate or vinyl flooring that mimics wood over the maintenance of the real thing.
Overall, the Millennial generation doesn't view their home as a status symbol but as long-term investment that will suit the needs of their busy and active lifestyles now and evolve with each life stage.
If you're interested in purchasing your first home, download our free Mortgage 101 Handbook, a great resource of all things home buying and financing for first-time buyers.