5 reasons why Millennials are investing in Real Estate early.
For the vast majority of society, real estate investing is all about long-term wealth creation. Real estate is not a get-rich-quick scheme and most success does not happen overnight. Often, one tends to lack direction when it comes to investing in their youth.
However, Millennials today are wise when it comes to making calculated investments in real estate. Real estate tends to favor the patient over those who are in a rush.
When you follow a long-term buy and hold strategy, fluctuation in the market does not really matter. One can ride them out knowing that real estate always goes up in value over time. However, unlike the stock market, one does not have to deal with as much volatility when it comes to real estate.
Real estate has its own sets of benefits, for the investor one stills get healthy rental income even if the market value of the investment goes down.
Healthy Living Is Non-Negotiable
The biggest millennial homebuyer trend is to look for properties that offer easy access to healthy activities such as nature, yoga studios, gyms and bikeable areas.
Millennials see their homes as a “retreat” from work and other responsibilities, make sure to include photos of your community in your listing if it offers these things.
Low Maintenance and Smart Homes
Old neighborhoods in highly sought-after locations are being rebuilt to attract these millennial buyers. These new homes have to be smart enough to attract these new-age investors, electronic access, keyless locks, interconnected doorbells, mobile-controlled security systems, voice-activated assistants, and now even Alexa.
The face of real estate has changed and with the corona leading to work from home. Real estate is adapting to this need for smart technology to be adapted into their homes. And with the increasing level of integration between technological devices, this has become a need.
Sustainable Real Estate
The trend is to be more environmentally conscious, the trend is that the millennials are the ones driving the green investment in their real estate investments. New and more efficient features and appliances that will only use minimal energy for any given task, reducing home energy usage stand to gain high receptibility among the millennials.
Green features are one of the few things that young buyers are willing to pay out of pocket, however, they will be even more likely to consider purchasing real estate that already has eco-conscious investments integrated into the home.
Reviews, are you listed as yet?
Millennials are a cautious generation; many decisions are made based on reviews another claim to work for them. The Real Estate market is no exception, while it might not be possible to look up a review of a specific house, this process will continue to be adopted by the millennial.
Listings add value to the credibility of a real estate agency and satisfy the curiosity of the interested property buyer. This means that having accurate, up-to-date listings are a must.
Patience and Time
Surveys of home searching and buying experiences found that millennials are willing to shop for over a year to find acceptable real estate investments. With a desire for both technology and a location that fits their lifestyle, they are quite particular about their investments.
The millennial’s tastes and habits are proving to shape the real estate market in new and fascinating ways. Agents involved in the real estate ecosystem should be updated and continue to tap into these changing trends now more than ever.
