I read an interesting article today titled 'First Time Buyers Want Everything, And Now' . It was an article about the wants and needs of the generation of first time Buyers today that seem to be demanding and sometimes look unrealistic in what they feel is needed in a first home.
This put my 'Hamster Wheel' in motion and began a quick checklist of what I see in my first time Buyers. I then realized that for many of my Sellers to understand the thought process and needs of the Generation Y group may make it easier to show their home to appeal to this type of Buyer to give them an edge in today's market.
According to the article, 2/3 of First Time Buyers are under the age of 35. This solidly puts this group as Generation Yers. To sum up this age group, they were born in the 80s mostly with Baby Boomer parents. It is a very different generation than the one before them. They are the largest generation in the marketplace today and most likely forever.
This generation has many titles (Generation Y, Generation Next, Net Generation, Millenium Generation, Echo Boomers, The Peter Pan Generation and the Boomerang Generation). I am FASCINATED with Human Nature and why we do what we do. So, sometimes the 'Why' in my mind has to find out the answers.
Here is a little bit about what I know about this incredible generation:
- This generation grew up in families where 'more was better'. They watched their parents work their butts off to 'keep up with the Jones'. They were kept busy when they were young by organized sports, groups etc. that their parents ran them to. They wanted for nothing and had all of the newest gadgets in the home. As a result of this, they have grown up with computers, internet, cell phones and all of the coolest tech. This means that they are incredibly tech savvy and are an instant results group. The traditional 'I'll get back to you within 24 hours' doesn't work with this group. They are looking for and expect instant responses. Twitter, Texting, Emails, Internet are at their fingertips 24/7. The world is very small to them because of technology.
- They are called the 'Echo Boomers' as they often are seen to be the opposite of their parents' lifestyles. They watched their parents work themselves to ill health. They watch the older generation 'Retire to Decline' after decades within the same career and most probably the same company. They have had the realization that 'Quality of Life is More Important'. They want to have excitement and challenge in their life. It isn't uncommon to meet a Generation Yer that has 4 sources of income (jobs) at the same time. This is by choice for many of them. This is hard for the older generation to understand as they were taught to concentrate on one thing and do it well. This new generation EXCELS in what they do, in fact for many of them failure is not an option. Multi-tasking is all that they know. This polar opposite thought process to the Baby Boomers brings on the nickname of Echo Boomers.
- They are very much team players and like to work with others to bounce their thoughts off of. They like to hear other opinions especially if that opinion has merit and makes sense (if it's different than theirs, they want to hear it also as they are open to change). They are confident, quick learners that like to question authority and make their own conclusions. They are a data processing generation. If they are provided the data, they will process it and come to a logical well thought out conclusion. They also need to clearly see many options to a problem.
- They are family and friend oriented. They care about others and appreciate the little things. They learn from older generations and time is precious.
After all of this explanation, a First-Time Buyer in today's market is looking for a place to kick back, be comfortable and possibly stay for a long time. They are looking for lower maintenance tech savvy homes (or the potential to make them tech savvy). They need space for an office area as many work from home. They don't want to spend all of their time working around the house or for the house.
Sellers need to understand the thought process of this new generation. If your home is in the first time Buyer price range ($275k - $350k), most likely this is the type of person that will purchase it. Their surroundings should be comfortable, convenient and low maintenance. They are also the type of Buyer that will use a Realtor® to purchase a home with. Once they meet someone who is honest and logical that they can respect and trust, they will continue to work with that person and they understand that if someone has experience and knowledge they are worth being part of the team.
I hope you found this interesting. There are positive and negative qualities to every generation. I personally am intrigued by this generation of self-employed go-getters. The high standards that they insist on from those around them are also standards that they place on themselves. This brings on an increase for anxiety and depression for this generation. The tools to deal with these issues are out there. This is an incredibly smart generation, they will find those tools to help move forward in their lives the most efficient and effective way. They are certainly a generation of problem solving individuals. They are the future and I think for the most part, we are all in good hands.