According to the National Association of Homebuilder's (NAHB) 2015 consumer preference survey, What Home Buyers Really Want, among Millennial prospective home buyers, 75% reported a desire for a single-family detached home Just 11% indicated a preference for a townhome, and only 4% wanted to own a condo.
The data also indicate an ongoing goal of living in the suburbs. Two-thirds of prospective buyers in the survey wanted to reside in a suburban neighborhood, compared to just 10% wanting to own a home in a central city. Nearly a quarter of residents wanted to be outside large metropolitan areas entirely, preferring rural housing.
There are a lot of young people poised to enter the real estate market in Metro Denver - particularly in light of rising rent in and around the city; young adults are running up against rental rates that offer less space than ever before for the money, making home buying ever more attractive.
It may be tempting to pigeon hole the Millennial generation, assuming they have their eye on hip condos in urban settings. Surveys like NAHB's, though, point out that the desires of Generation Y don't fit into the box we might assign them to. In other words, young people are still people - and we don't know what they want unless we ask.
- TRELORA Founder & CEO Joshua Hunt
The Millennial generation is larger than the Baby Boom Generation and three times the size of Generation X, representing 77 million individuals and nearly 1/4 of the US population according to Nielsen data. If you plan to list or shop for a home, chances are good you'll rub shoulders with buyers or sellers who are part of the Millennial crowd, and you may be interested to know what matters to them in a home.
According to the NAHB survey, Millennial respondents say they value:
- Seventy-eight percent wanted an open-kitchen-plus-family-room concept.
- Eighty-one percent wanted three or four bedrooms.
- Sixty-four percent wanted at least two or two-and-a-half bathrooms.
- Fifty-five percent thought a laundry room was essential, and 35 percent thought it was desirable.
- Eighty-four percent were willing to pay 2 to 3 percent more to get a highly energy-efficient home with lower utility bills over the home's lifetime.
The following are aspects Generation Y found undesirable:
- Fifty-seven percent did not want a home in a golf-course community.
- Forty-seven percent did not want a master bath with a shower stall but no bathtub.
- Forty-seven percent did not want to live in a high-density community.
- Also on the "unwanted" list: gated communities, wine coolers, wet bars and laminate counters.
Our advice? Prepare to welcome this generation of buyers and sellers with open arms. Your parents home buying potential and habits probably looked a lot different than theirs, and the habits of your own generation may look different, too. Different can be good, and we're excited to see this generation rise up and embrace the opportunities offered by home ownership.
Whether you are a Boomer Baby, Gen X, Gen Y or Gen Z (is that even a thing???) our commission free business model can protect your hard earned home equity and save you thousands of dollars.