In recent years, it is becoming clear that millennial home-buying habits differ greatly from those of Baby Boomers or Gen X-ers at the same age. Recently, we’re starting to see how Gen Z may turn housing trends upside down again.
Keeping up to with generational preferences is key to success in real estate, whether you own rental buildings, sell homes or build places for people to live. As such, it is important to constantly refresh generational knowledge and stay current with age-based market trends.
So what approaches work — and how can you then use that information to its best effect? To find out more, we asked members of Forbes Real Estate Council to share their best tips for both how to stay in the loop and how to then use that information to best serve your business. Here’s what they advise:
Members discuss ways you can better discover generational views on property.Photos courtesy of the individual members.
1. Expand Your News Sources And Friend Circle
Working in real estate, it is essential to be on top of market trends. I recommend staying informed by reading articles regularly from different news sources, which can be easily accessed via social media. Expanding your friend circle, talking to local business owners and patrons can give perspective. The best way to stay in the know of what people are thinking is simply to talk to people. – Beatrice de Jong, Open Listings (YC W15)
2. Turn To Social Media
Staying up to date with the changing generational needs of today’s consumers is quite challenging. In order to keep in touch with changing trends, I find myself turning more and more to social media in particular Instagram. I also find myself speaking to and observing my children and their friends more in a way that is different than as a parent. I now look at my kids as consumers to learn more. – Stephen Glen Kliegerman, Halstead Property Development Marketing
3. Be An Eager Learner
I think when it comes to being trendy, one must have an active approach. Watch for popular TV shows, or read online publications. Look for apps and websites (Houzz, Pinterest, etc) that enable user contribution. If you had told me five years ago I’d be painting walls gray and using white countertops, I would have laughed at you. The first house we did this way we simply copied a style from Houzz. – Tim Herriage, 2020 REI Group
4. Do Your Research And Listen To Your Client
While millennial homebuyers do have specific needs, it’s critical to listen to your clients. Be sure to communicate in their preferred manner and take time to interview them to determine what features are most important when purchasing a new home. It’s also important to be aware of industry trends, so read-regularly and set up alerts real estates sites such as Inman, RIS Media and Forbes. – Lisa Fettner, ReferralExchange
5. Use Clear, Concise, Data-Based Presentation
The Gen Z buyers whom we expect to appear on the market (probably not without little financial help from their parents) are expected to be highly digitally savvy and lifestyle-minded people. They are to be taken seriously and with maximum respect. To appeal to these technically proficient, lifestyle-minded buyers, real estate professionals must use clear, concise and data-based presentation. – Elliot Bogod, Broadway Realty
6. Educate Yourself
You can read surveys and professional reports in order to educate yourself on Gen Z preferences and habits when it comes to real estate. You can also run your own survey and tailor the questions to specifically answer what you need to know: What amenities does Gen Z prefer? Which cities do they move to? What’s important to them when it comes to the property’s location? – Ellie Perlman, Blue Lake Capital
7. Keep It Simple
Developers over the last decade have spent hundreds of thousands on (sometimes extravagant) amenities such as rooftop decks and high tech apartments or gathering spaces. Our feedback, which comes from Gen Z renters through their housing choice, shows us that Gen Z will trade those amenities for affordability. They want to be out on their own and be able to afford it on a barista salary. – Z Otto Bonahoom, Bohouse Investment Group
8. Ask College Students For Advice
Adults tend to socialize and work with people in their communities, social class and age range. College age young adults attend classes and parties consisting of individuals from around the country in various social classes. Their exposure potential to thousands of people on campus can be valuable to real estate owners seeking an understanding of what is important to the next generation. – David Kaufman, Cleeman Realty Group
9. Understand Each Generation’s ‘Why’
Headlines are one thing and physical interaction is another. Make sure to surround yourself with multiple generations. Understand what apps they use, continually survey and pay attention: Understanding their “why” is key to understanding preferences, decision making and motivations. – Aaron Galvin, Luxury Living Chicago Realty
10. Analyze Social Media And Market Trends
I am a millennial developer myself, so it definitely helps that I am personally in tune with what my generation wants. Instagram and bloggers are a great way to spot upcoming housing trends, as it demonstrates how younger generations want more flexibility to travel, modern design, less overhead and more services that give them more experiences, rather than bedrooms. Get stats from agents as well. – Meg Epstein, Ca South Development
11. Tailor Amenities
First, look at the profile of renters coming into your property and cater amenities to that crowd. For example, millennials might want more social amenities like movie nights or community gatherings, whereas yoga classes and convenience items like grocery delivery tend to appeal more to middle-aged renters. Tailoring amenities will help attract and retain the ideal renters for your property. – Nathaniel Kunes, AppFolio Inc.
12. Go Old School
Gen Z, though digitally native, is far less apt to overshare online than millennials. Look for their YouTube/Instagram influencers. Watch those influencers for the latest in “cool” — tech and design. GenZ is about cool and loyalty to authentic voices in branding. So, to reach Gen Z, think old school tactics: host parties for social media influencers and invite them to inform you with webinars. – Kristin Geenty, The Geenty Group, Realtors