The professionals at “Local Records Office” (LRO) know that making the decision to purchase a home is a major one. A house is a large investment—the most expensive that many individuals will make in their lifetime—and is not one to be taken lightly. Previously, in the wake of the recession,the young adults of the Millennial generation, who are also referred to as Generation Y, were wary of investing in a property of their own. The deeply devastating impact that the recession and housing bubble burst had on homeowners is one that served as a cautionary tale for some time, preventing younger buyers from taking the plunge and making an offer on homes in which they were interested. But with the housing market now stable and the American economy making a steady recovery, Millennials are indicating that they are ready to become homeowners, according to a recent article published by USA Today.
The article asserts: “A generation that’s about 90 million strong, Millennials (or Generation Y) form the largest demographic in the nation’s history—even larger than the Baby Boomers. And now that the oldest are in their early 30s (the youngest are 12), they’re coming of age for home ownership.
“It’s a momentous time for an industry still reeling from bad loans, foreclosures and price collapse. Now, builders, developers and agents are gearing up for the onslaught.”
While the recession and high unemployment levels may have staved off Millennial buyers, many members of this generation are now firmly enough established in their careers to have the ability to make the kind of long-term investment that purchasing a property requires. But it is crucial for the real estate industry to understand that these buyers are not like those from previous generations. Given their experiences, they are not looking for the same features that their parents and grandparents wanted in a home.
The professionals at LRO understand that an influx of buyers means big business for real estate professionals; however, the company asserts that it is important that these professionals are able to provide properties and communities that fit the expectations of this large demographic. Because of the evolving priorities and values of the Millennial generation, it is crucial that professionals within the real estate industry—from developers to agents—take the time to understand what it is that these buyers want and how to provide them with solutions to their housing expectations.
According to the article, “They’re not that different from their parents, except they’re not as wowed by luxury and are more likely to demand technology and flexible space.” Additionally, the article asserts that a survey conducted by Better Homes and Gardens revealed that Millennial buyers are not interested in traditional floor plans or the rooms that are normally included in a traditional house. Furthermore, the article reports that these buyers would prefer to conduct home improvement activities than turn to their parents for money and that they want unique homes. The survey, which polled 1,000 participants aged 18 to 35, also reveals that the rooms within the homes of Millennials reflect different facets of their lifestyle (i.e. gaming rooms, hobby rooms, etc.). The evolution of traditional rooms is also indicated in the fact that many of these buyers use their dining rooms as home offices and prefer that their living rooms serve as home theaters, rather than casual meeting places for friends and family. Finally, the technical capabilities of a home were ranked as more important than the curb appeal that the house offers by participants of the survey, 75 percent of which stated that they would not invest in a property that was not technologically up to date.
In addition to the specifications of the home they are purchasing, the professionals at Local Records Office encourage Millennial buyers to think about the community in which they will be moving. These professionals urge Millennials to buy homes in neighborhoods in which they will fit in, as this will allow them to better enjoy homeownership as they will share common interests and values with their neighbors.
A representative from the company states: “While the specifications of the house that you buy are important, certainly, it is equally as crucial that you are certain you will be happy living in the neighborhood in which this house is located. You could purchase your dream home, but if it is situated in a neighborhood that you hate you will not have the positive experience you are hoping for when you move in. Because a house is a major investment—one you cannot always sell right away—you might find yourself stuck in a community that you don’t enjoy if you don’t take the time to do your research and make certain that you will love the area.”
The professionals at LRO encourage homebuyers to invest in a personalized report drafted by the organization, which shares information regarding crime rates, educational opportunities, demographics, property values, transaction histories, etc. for the property and the surrounding neighborhood. With this information in hand, homebuyers can more confidently decide whether or not to place an offer on a house based on the community as a whole, not just the property itself. Additionally, the representatives of LRO urge homebuyers to talk to potential neighbors and drive around the community before making a decision in order to get a feel for the kind of lifestyle they would live if they moved into the house they are considering.