[MARKET/TREND]: Forget About the Wedding, Gen Z-ers Plan to Own Homes Before They’re 30 Years-Old
Realtors and lenders everywhere, it’s never too early to prepare yourselves as it relates to accommodating the largest generation with the most purchasing power yet. The Zers, includes 72 million people, is unlike any other group.
Gen Z is the newest and not to mention different homebuyer on the block, but they are foreseen to redefine the residential real estate market for a decade to come. The majority of Zers are too young to affect the housing market today, but with 82% believing that homeownership is the American Dream, their purchasing powers is one to be reckoned with.
Zers are already saving to buy a home, and 59% are planning to do so within five years, according to a new report. It’s quite unusual to see a young group so focused on becoming homeowners. Zers are at the antipodes of millennials, Gen Zers love the idea of independence and owning a home gives them that.
Gen Zers are past the idea of just thinking about it. They’re doing something about it by saving money right now in their early twenties. Generation Z was defined as those born after 1995 therefore if they reach their objective, they would be homeowners when they’re twenty-eight years old, before thirty.
To attain their objective, Zers said that they’d rather save for a down payment than to plan a dream wedding, go shopping or on vacation if they had $5,000 right now. At the antipodes millennials said to become homeowners they’d cut back on extracurricular activities for saving, Zers said they would get a second job, go to a school that would leave them with less debt or move back in with their parents.
Gen Zers are willing to change their lifestyles, they’re really intentional about homeownership and they’re not just talking about it. Unlike millennials, Gen Zers want to be homeowners for different reasons. 50 percent of Gen Z said that starting a family was a top reason for buying a house.
As each new generation enters the market, you as a real estate professional must prepare yourself for the shift from working with Millennials to Gen Z.
Gen Z only knows the digital world. 90% plan to purchase a home online. And because Zers live in an instant-gratification world, this impacts how they shop for and buy a house from you as a real estate agent.
As a real estate agent, you must position yourself to take all the advantages of potential homebuyers by staying up-to-date with social media, clarifying your value proposition to appeal to this generation’s needs and desires and learn all you can about this demographic.
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