In today’s world, there is a younger generation, known as the Millennials, that are disrupting the housing market. In a positive way. Millennials have affected today’s real estate market locally, in the 2nd best selling community in the nation, of Lakewood Ranch, Florida, they make up 30% of the market share, in both resales and in new home construction. The next largest percentage is the baby boomers. The third percentage to complete the sales is of generation X’ers.
The millennials & generation Xers have been growing numbers exponentially in the last couple of years. More and more millennials are now purchasing starter homes after they stayed at home with their parents longer than in the past. They’ve saved up money and have larger incomes than those just out of college. The millennials are conscience about saving money, they prefer not to take on a lot of debt and are purchasing starter homes with lower mortgage payments with less bells and whistles, to keep from being house poor. They are specific in their wants in a home, which are typically, open floor plans, a large kitchen with an island, overlooking the great room, for gathering with friends and family. Homebuilders are building these types of homes in starter prices to cater to the Millennials.
This generation has forever changed how Realtors do business in many ways. One big change we see with millenials and how they’ve changed the way we do business, is how they communicate with real estate agents. They prefer the majority of communication to be via text message. Text messages to communicate properties of interest, scheduling appointments and any miscellaneous questions they have. Phone calls are for urgent matters or concerns, usually once they select a property to make an offer on and throughout the beginning stages of the sales contract. Emails are for data collecting information and are usually read only by millennials, versus a back and forth line of communication – that is saved for texting.
The other major way things have changed because of the new tech savvy generations is the way properties are found. No longer do consumers need to rely on Realtors to provide them the available housing inventory, with platforms like realtor.com and real estate agent’s MLS IDX websites, the available homes for sale are at your fingertips. In fact, millennials research homes in the palm of their hand, on their smartphones. The business for Realtors has now become one of information. Gathering information about a potential interesting property, and relaying that information to the buyer. It’s digging deep into the home’s history, neighborhood, and location to provide to the consumer as much detailed information, that is not readily available online, to help them make a decision that is best for them. It’s also a business of managing the sale transaction from contract to closing and beyond.
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