Young Buyers Redefining ‘Luxury’
Young buyers are changing the meaning of “luxury” in the real estate world. They are changing the way they think about homes, so you need to know what feature they desire the most when looking.
Millennials want less space, more functionality. “Some of the most in-demand features include open-concept living areas with plush living rooms and showcase kitchens, spa-like bathrooms, and multiuse rooms” (magazine.realtor.com). They are passing on larger house and choosing small luxury homes.
Fast internet access is high on the wants of millennials. A small home filled with connected devices such as smart appliances, speakers, thermostats, and security systems, as well as networked audio systems for the entire house and voice-controlled lighting. When selling a home with smart features make sure to show you buyer all the bells and whistles so they can get the full experience. It is recommended to have an iPad hooked up to do a hands-on demonstration.
“Greater commuting options. As millennials flock to urban areas, walkability and proximity to public transportation are highly sought attributes. Many millennials are interested in living in neighborhoods where they can mingle with like-minded individuals and stroll to local amenities like restaurants, community gathering areas, and entertainment. For longer treks, they may also prefer to commute via public transportation or use rideshare services. This is also a boon for millennial buyers looking to cash in on the short-term rental craze. Walkability and convenient transportation options will help buyers boost their home’s profile on rental sites. It’s also possible you’ll encounter urban-based millennials who don’t want to buy a primary residence in the city; instead, they’re choosing to rent their primary home and purchase a vacation home elsewhere.” (magazine.realtor.com).
Many millennials are showing interest in high-end homes, but their property wish lists may look different than those of typical wealthy house hunters.
They are always checking for the best deals on the things they buy, so buying a house will be an extensive process. In fact, Millennials associate home ownership with the American Dream, more than any other age group, in 2016. When looking to buy a home they want move in ready, not a fixer upper.
The average household income for homeowners 26 and younger: $82,000. While the average student loan debt for homeowners 36 and younger: 46% owe $24,000.