Amazing Millennial Real Estate Trends in 2020

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Markets are unpredictable, and real estate is no different. Still, there are some standard pointers for agents in the business and trends that follow set patterns over the years.

Professionals can take advantage of this knowledge when determining the direction in which the market’s headed. One such essential factor is the shift of buyer generations, which determines the primary demographic it targets.

Generational shifts happen approximately once every twenty years. One age group enters the housing and job markets while another settles and stops playing a vital role.

Today, millennials are the primary purchasing force in the housing market. Let’s take a look at what you can expect from this elusive generation.

Who Are Millennials?

To understand millennials buying homes today, you need to become aware of this generation’s hallmarks.

Millennials started hitting the property purchasing moment of life around 2010. Ten years later, it’s ideal for them to transfer from smaller houses or rentals into larger family homes. This generation is a bit different than the ones preceding it, though.

The new technological landscape also changed their career propositions. This age group waits longer to get married, and they’re generally reluctant to make massive commitments, including property purchases.

There’s also a growing focus on accumulating experiences, not possessions, making homeownership less of a priority.

As a result, you’ll often find media angrily writing about the generation disrupting the housing market. However, these new desires don’t mean they won’t buy homes. They only mean that the purchases will be a bit different.

Predominantly First-Time Buyers

The most significant thing to note is that today, most millennials are first-time homebuyers, even those over 30.

As a result, real estate agents have to grasp this group’s needs and desires and combine that knowledge with their experience with first-time homebuyers in the past.

An additional essential consideration is the tech-savviness of this generation. Young people are more likely to use technology to find homes and communicate with agents.

Especially during the pandemic, open house viewing isn’t an option. Organizing digital meetings and showing homes through video works much better for them.

Moreover, as Dallas real estate experts explain, urban living is experiencing a resurgence. You can learn more if you visit the web site here, but the vital takeaway is that millennials are all about location.

They want their homes to be well-connected and close to amenities, workplaces, and a wide array of social and entertainment centers.

Non-Traditional Living Options

Another thing that could confuse real estate agents, mainly those who spent long years working with Baby Boomers and Gen X, is the shift towards non-traditional living options this generation displays.

Some notable trends include:

  • Tiny home living
  • Van dwelling
  • Renting homes
  • Sharing houses
  • Airbnbs

It seems that millennials keep finding alternative living spaces. There are two notable reasons for this trend.

Telecommuting grew in popularity, mainly for those in tech fields. So, many young people with enough money choose to travel the world while working. They opt for smaller apartments and short-term contracts.

Even once they decide to settle, large homes aren’t that popular, at least if there’s a trade-off between the location and space.

On the other hand, a massive part of this population is stuck with student debt and the inability to find work, especially after the pandemic. It’s not as simple as purchasing a home and living in it until they’re old enough for a nursing home with this generation.

Those fixed-living situations don’t suit the other non-fixed elements of living that they have to face.

The Bottom Line

Overall, real estate agents and companies can expect a flood of millennials in the market. Economic shifts, a movement towards tiny homes, and a lack of focus on suburban areas will become much more prominent with them.

These trends have a massive potential to change the housing market in general. So, agents need to look out for them and let go of more conservative principles in favor of what the new market truly wants.

Businessner editorial team
Businessner editorial teamhttps://businessner.com/
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