How Gen Z homebuyers are impacting Real Estate Market
Millennial is out, Gen Z is in! There is a new generation of home buyers and renters that’s coming to the real estate market and they’re changing the game!
Known as the Digital or the iGeneration, Generation Z or Gen Z comprise those born from about 1996 to 2010, of which the oldest among them is now in their early 20s. They are the generation who grew up with the internet and social media. They’re educated, forward-thinkers, and competitive in their careers. And even though they’re young, many of them have already bought their first homes or at least are starting to enter the housing market.
So if you’re a real estate agent, broker, property investor or someone’s selling a property, it’s timely to note Gen Z’s housing habits and learn how to connect with this generation and gain their trust.
How Generation Zs are impacting the housing market
Researchers have found that the concerns and belief systems of this generation differ radically from both the Baby Boomers and the Millennials. Let’s take a look at how Gen Z is making an impact on the real estate market.
#1 Gen Z is Frugal
A survey reports that Gen Zs are forward-thinkers and driven to plan for the future compared to their older generations i.e Millennials, Gen X, and Boomers. They are serious about money, investing, and career choices. They care about the cost and quality of an item or product, while also valuing their time. Probably because they remember their parents struggling to make ends meet which they don’t want to happen again.
Considering Gen Z’s frugal mindset, it’s important that you build trust with them through transparency. Be genuinely honest in transacting with them and explain the pros and cons, especially when confidential details are revealed. The more you’re transparent with them, the more likely you win their trust.
#2 Gen Z aspires homeownership
According to a survey conducted by Better Homes and Gardens in 2015 that ninety-seven percent (97%) of Gen Z believes they will eventually own a home. It is seen that they are more likely to buy than their Millennial counterparts, so it’ll be interesting to see over the next five to ten years how that plays out.
With this million strong generation already moving into their home buying years, it’s important to craft the right message and begin connecting with them now. Gen Z consumes most information and interacts via the internet, so you need to be creative, fast and responsive, and tech-savvy too. If you’re still relying on traditional ways of marketing and doing business, then you’ll be left out and Gen Zs won’t spend time with you. Building a connection is key.
#3 Gen Z moves in and out
It is also found out that Gen Z doesn’t have deep roots. They’re willing to move in and out, look for career opportunities that they are passionate about or just experience a new area. They think they don’t have anything major to lose, so a lot of them don’t even want to stick around the same place and they’re willing to move across to find their own path.
To connect with Gen Z where they’re most comfortable, you must use your social channels consistently. This means you have to be online, have a consistent message, and have a regular posting schedule. You don’t need to meet them personally to build a connection. A solid digital presence is an opportunity to stay in touch with them and get repeat business and referrals.
#4 Gen Z hates commute
Gen Z hates commutes. They want to be near work airports and amenities. They want to be within walking distance of restaurants of nightlife bars a lot of things to do. They’re young and looking to have a good time so how do you sell to them well.
As a real estate practitioner, you must position yourself into this growing group of potential homebuyers by staying up-to-date on what’s latest, updating your value proposition to appeal to this generation’s needs and desires, learning all you can about this demographic, and understanding their home buying habits. It’s your ticket to keeping with the Gen Z trend.
#5 Gen Z do it for the gram
Social media is part of everyday life for Gen Z. They’re used to documenting their lives and sharing their experiences with their peers. And because Gen Z live in a time where everything is immediate, this will most certainly impact how they shop for and buy a house.
As a property salesperson, you have to level up your social media game too. Make sure your property is Instagram-worthy! Hiring a professional photographer to take photos of your property listing is definitely a good investment to make. Remember too that they’ve been marketed throughout their lives, so they can differentiate what’s genuine or fake. Feel free to explore more budget-friendly home renovations, DIY home improvements, and real estate tips from Filipino Homes.
But take note that as they become homeowners, expect Gen Z to document it every step of the way. For real estate agents and brokers, this could be a game-changer in real estate marketing.
Are You Looking for a Property?
If you are one of the Gen Z who is considering real estate investing as an option, you may talk to a professional real estate agent who knows the ins and outs and the current real estate trends of today.
