Millennials are Americans born in 1982 to 2000, and now make up almost a quarter of the population. There are more millennials in the United States than baby boomers. Many are now independent and employed. This means they are also entering the real estate market, many as first-time buyers. How does millennial real estate impact the whole market?
According to Dr. Elliot Eisenberg, a former senior economist with the National Association of Home Builders (NAHB, millennials have the power to make real estate “skyrocket”. With more of them in the market than Generation X, they are said to be in their prime home buying years. They just need to continue to move away from their parents for the full impact.
Last year in 2015, about 15 percent of adults, or 1.3 million people, ages 25-34 lived with a parent. This is generally a historically high number, usually those adults “would be out there, forming their own households, demanding their own units” by buying or renting homes said NAHB Assistant Vice President for Survey Research Rose Quint.
What’s different about millennial real estate?
Not only will these young Americans improve the real estate market when the rest move into independent homes, they have unique real estate power because of technology. Millennial real estate is expected to be defined by use of social media, review websites, and all the resources the Internet has to offer them. These young people are fluent on the web.
They have “read the ratings, comments and reviews, and they know what’s worth it,” and have probably created a Google alert so they know when it’s on sale, Better Homes and Gardens Brand Executive Editor Jill Waage said. “This generation is searching out ideas, following bloggers,” and creating Pinterest boards with their preferences… They’ve already curated their dream home online, saving it on their boards so they can [be ready] when the day finally comes.”
The future of real estate is exciting, some thanks to growing millennials. Are you excited about real estate too? Check out our amazing properties in Miami and you soon will be, and then contact a RE/MAX Paradise agent!