With a new generation comes a whole new way of doing business. Just in case you might be tempted to dismiss their economic impact, consider this: millennials now make up the biggest share of U.S. homebuyers. They are 35 percent of the purchase market, compared with the baby boomers’ 31 percent market share. In 2016, 18-34 year olds were two times more likely to buy a home than 35-54 year olds.
That means the process of home buying, as well as home remodeling, is about to change. With this demographic making up the majority of homebuyers today, it’s important for contractors to stay on the forefront of their buying trends!
Homes in need of TLC
Millenials are DIY minded, which means they’re looking for homes, particularly those requiring updates and renovations. From bathroom tile to deck building and everything in between, customization is the name of the game! Homeowner spending on remodeling is projected to rise exponentially through 2025, and the cause for this growth is based largely on the habits of millennials, according to a recent report by the Joint Center for Housing Studies for Harvard University (JCHS), Demographic Change and the Remodeling Outlook.
With home buyers becoming increasingly eco-conscious, energy efficiency and environmental sustainability are becoming more and more important to Millenials as is home automation for everything from appliance control to security.
Big Kitchen, Open-floor Plan
A generation ago, formal dining rooms may have been on every buyer’s wish list. But today there really isn’t much appeal to rooms that go unused a majority of the time. The kitchen has officially become the hangout room along with the family room for millennials which is why an open space that can easily transition from kitchen to TV room is high on the list of the perfect home for young buyers!
Best Practices To Reach Millennials
Step Up On Social
Millennials use social media platforms like Twitter and Facebook as primary tools for communicating with other people, engaging with businesses, and performing research that ultimately helps them make purchasing decisions. Along the same lines as social media is the importance of virtual tools in general. Millennials are typically not the pen and pencil type, so offering virtual design tools is a great way to set yourself above the competition!
Be Open Minded With Communication
To effectively connect with and sell to millennials, you have to be willing to communicate with them using whichever method they prefer! For most millennials, this means texting or even Facebook messaging rather than meeting in person.
Though it’s imperative to freshen up on new techniques, it’s not necessary to reinvent the wheel overnight. It’s important to find a balance between the proven classics and new, innovative skills. At the end of the day, being able to adapt to new trends can mean the difference between a successful sale or remodel and being passed over in favor of a more relevant expert!