A recent report issued by national research firm, Zonda, sheds light on the millennial home buyer. Ali Wolf, Chief Economist for Zonda, gave her insights based on the findings in an article on Builder Online. Ali’s insights into the struggles millennials are reporting from affordability to inability to save enough for a down payment may not be all doom and gloom for the building industry when it comes to the largest segment of homebuyers. We are seeing signs of a cooling market with Google searches for new homes declining over the past month and a half—a prediction we made early in the year that 2021 would show it’s dark side of consumers feeling the pain of low inventory and high prices. Don’t fret, we’ve got some silver lining to put around some of the information in the report.
Number one on the list of reasons that millennials are looking for a new home in the first place is the desire for customization. This is where new homes indefinitely win over used homes. More and more builders are making the shift to using online design center solutions like Envision. Envision allows home shoppers to customize their new home and see how it will impact their mortgage. Envision works in pre-sales mode as well, making the process of building a new home transparent.
#2 Put Down Roots
The second reason that millennials indicated that they were in the market for a new home is the desire to put down roots. Master planned communities offer the opportunity for home shoppers to buy in to a community that often offers amenities for adults and young families, something that relates to multiple micro divisions of the millennial home buyer segment. Builders are investing in tools like the new Geospatial ISP from BDX—a fully functional interactive site plan that works within Google maps. The map allows home shoppers to view available lots, plans and amenities all while being able to access Google’s native points of interest. Getting construction materials delivered to your newly developed site? No problem! We submit your site plan to Google maps to get roads, models and details added to Google maps.
#3 The Suburbs Is Suddenly Cool Again
Suburbs are becoming increasingly the place to be—good news for the new home industry. In addition to affordability, 45% of millennials reported that they were working from home during the pandemic. While the pandemic is winding to close, as many as 14% of those reported that they don’t anticipate going back to an office, making living in the suburbs more of a reality.
With more than 6,000 new home communities expected to launch in 2021, we’d say that the future is bright for millennials. BDX is here to help, from advertising on the largest listings site for new homes, NewHomeSource.com to renderings and technology solutions for home builders—we’ve got your back. Email us or visit us at TheBDX.com.
About the AuthorMore Content by Alaina Latiolais