Mind of a Millennial Home Buyer
by Michael Lam | Sep 11, 2015
Who are Millennials?
Based on Wikipedia, it’s a demographic of people born between early 1980s to early 2000s Before the Millennial generation you had several generations that you probably have read about or directly relate to. Below are three generations and their birth years they belong to base About.com
|Generation Name||Birth Years|
Millennial buyers are an interesting group. It’s a group that many only recently have started to document and analyze. There is a scary “unknown” still because there is an age gap between a client and agent. The median age of an agent is 56 years old. The next round of buyers to play a huge role in the market is Millennials. It’s a generation gap that has caused all of this attention. As clients in the generation X category starts slowing down for retirement and phasing out of the core buyers, it’s the Millennials taking up the majority of the share in the years to come.
As any good business person would do, you must study your market. Your market as an agent are Millennials, if you haven’t come to that conclusion then your even far behind the eight ball than you might think. Below are some key characteristics to understand Millennials. Myself, I’m a Millennial born in 1980s, and I can speak from my past experience working through +10 agents, you have your work cut out if you don’t meet the minimum expectations of a Millennial. To meet them you have to understand how we, Millennials behave, communicate and think. Keep reading below to get the quick 411 on us.
Communication is key
Millennials live in an environment where communication is instant. Practically every one of them has a smartphone, so this means you should have one already. If not, go buy one today. It doesn’t matter if it’s an iPhone or an Android, as long as it allows you to text, email, talk, go online fast, it’s good enough. Millennials are also less formal than prior generations. This means they prefer to text vs. talk over the phone. They are incredible at multi-tasking. They operate on a much faster scale than a typical Generation X (born during 1965-1979) did during their time. This means agents must keep up with them or get left behind.
The patience of a millennial is also short. They literally don’t have time to wait around. In a digital age of information always at their fingertips, they can’t wait for agents to do something simple as responding to a text or email that goes beyond 24 hours of receipt. NAR statistics show home buyers getting their home information from mobile application 45% of the time.
In short, everything is mobile, so make sure your mobile as well, not just physically but digitally.
Smartphone is Critical
Continued on the communication is key to Millennials, a smartphone is the gatekeeper to a millennial. It’s everything a Millennial does to start their day. Their schedules are on their phone, their contacts are on their phone, their emails are on their phone, their text are on their phone, their notes and pictures are on their phone…etc.
Everything you can imagine, Millennials use their phone in their daily life. It only makes sense you understand this and have a smartphone yourself.
Collaboration is a growing sector and agents and clients are still behind in this field. If you can get on top of this and provide or embrace collaborative mobile tools, you’ll be one step ahead the competitions.
Clear Comprehension of Massive Data
Since Millennials can get all this data at their fingertip and directly on their phone, they want all of it. Having all this data is also a problem, it’s a catch 22, because with all of this data, it takes longer to synthesis or makes sense out of it. This is where you can come in to put things into laymen perspective. In other words, you need to be the agent to help counsel them in evaluating homes. You shouldn’t just let the buyer evaluate the home by themselves.
It’s understandable to not overstep your boundary in giving advice since at the end of the day, it is the buyer’s decision. But a good realtor will be able to synthesis the information for the buyer with all this information. A lot of times buyers are just overwhelmed with the vast amount of data. Using a product, called, HomeTrueScore.com can help put a numerical value on a Buyers preference on each home.Check that site out as it’s an amazing site that can expedite home search for you and your buyer.
Be Analytical with Stats
Millennials understand there are tons of data to comprehend and more data will come into the real estate world. Have a good grip on statistics will benefit you. Millennials want advice given to them to have stats to back it up. If you’re giving advice or suggested offer price, they will want some stats or comps to show that the number your suggesting is validated. This creates more trust between buyer and agent and provides a better working relationship.
Millennials also always want to know what’s going on in the market, having stats that can be pulled automatically such as a monthly email is valuable to them. Have it tailored towards their needs is an A+ way to impress.
Overall Synopsis of a Millennial Home Buyer?
Millennials are interesting generation. They are more conservative yet confident in their ways. They are technically sound and very quick to get data. They expect you to be at their level. The key point’s discussed above in detail hits it right on the head. Make sure you can excel in all of those areas and you’ll be welcomed by many Millennial buyers.
- Strong and fast communicator: Phone, Mobile, Texting, Email
- Make sure you own a smart phone
- Help synthesis lots of information on a property quickly. Simplify the evaluation
- Provide stats and cater towards their analytical thinking
To help with your branding and to really impress millenials, do what was suggested above and employ the latest technology in home searching tool, HomeTrueScore.com Also don’t forget to subscribe below to Real Estate Whisper newsletter to get the latest news instantly.
Get more stuff like this
in your inbox
Subscribe to our mailing list and get interesting stuff and updates to your email inbox.
Thank you for subscribing.
Something went wrong.