Millennials are the biggest generation alive today. They are multitasking, tech-savvy and creative individuals who have goals set in their minds. In Pakistan alone, young people make up the largest percentage of its population. This segment includes people born between the mid-1980s and the mid-1990s.
Despite the financial blow caused by COVID-19, the real estate sector is currently going through a phase of growth, and responding to its changing consumer base should be a priority to further develop its business. They are an important market for all brands in all sectors, so the real estate sector is no exception. Globally, they now rank as the top segment of its consumers, especially since the peak age of first-time buyers is 26-35. Even the demand for rental accommodation has increased; Houses for rent in Islamabad in particular are at an all time high due to this young population.
Digital consumer experience
The most significant change brought about by the growing millennial consumer base is the adoption of technology in an industry’s processes, products, models, and strategies. The coronavirus pandemic has especially increased digital usage and options.
Real estate was one of the last industries to embrace technology. It revolutionized the house hunting process. Proptech (real estate technology) uses information technology to help people invest, buy or sell property. Big data and artificial intelligence algorithms can help personalize the customer experience.
It is important to extract value from these technologies and target clients more effectively to attract the millennial market. It would also make the real estate company more knowledgeable and up-to-date than competing agencies.
Millennials are very detail-oriented and seek out more information to make informed decisions, so it’s crucial to provide them with as much relevant material as possible. They tend to use the internet to search for properties or hire rental agencies. Therefore, online listings should be enhanced by including high quality photos and videos; detailed property information; Contact information; interactive maps; any additional benefits, etc. Websites also need to be mobile optimized and mobile apps need to be developed. Virtual tours would allow your buyers to see your property and set you apart from your competitors.
Millennials are also collaborative and heavily influenced by their peers, so online reviews and testimonials can be a huge boon to increasing your property’s appeal.
Even the means of communication have changed: they favor digital communication for follow-up questions, and phone calls or in-person appointments are reserved only for urgent matters.
Millennials have grown up in the digital world; therefore, their preferences are different from those of previous generations. Social media mostly dictate their choices of where and how they want to live. They are accustomed to comfort and convenience; any outdated property features would only hijack them. It is therefore important to be aware of the latest technological trends and implement them in your homes. There are many smart home devices available in the market that provide security, safety, energy efficiency, etc. It can be voice-activated devices, automated security systems – anything that can be a strong distinguishing feature of your home, compared to other homes of the same range on the market. If you are looking to improve your home, it makes sense to invest in such a device.
Changing layout preferences
Home values have changed dramatically for the millennial market, especially throughout the coronavirus pandemic. For example, millennials now mostly work from home (plus they also tend to undertake more freelance work). Therefore, they might prefer more office space in their potential home or in specific locations where installing a fast and reliable internet connection is possible.
Recent research data also shows that size doesn’t matter as much to them as additional benefits. This includes open house layouts as they are easy to maintain and the space can be used for multiple purposes. The recent trend of buying or renting apartment complexes instead of housing corporations in major cities in Pakistan also confirms this: Millennials prefer compact, self-contained spaces that are more convenient for their modern lifestyle.
Just because they’re the largest generation of homebuyers today doesn’t necessarily mean millennials have high budgets. After all, most of them are just looking to buy their first home. An effective strategy for marketing them is to keep an affordable budget – this can be achieved by leaving some of your property upgrades to them. Installing energy-efficient technology devices in your property would also be an attractive feature for this environmentally conscious demographic – plus, it would significantly reduce their utility bills.
Millennials have become an important part of the real estate landscape, which is why it must evolve to meet their wants and needs. The sheer size of this demographic group, along with the fact that they are just entering a new stage of life in building families and accumulating capital, means that this is just the beginning of housing demand in the millennium. Analysts expect millennial consumers to sustain market demand for years to come.
Before, real estate agents provided value by providing relevant information. With these details already available online, millennials are looking for real estate companies to help them with the negotiation and make the process easier for them in a fast-paced world. Graana is one such agency that can guide you through the process – you can visit their website here for more details.