Using numbers provided by real estate experts and data taken from the United States Postal Service, the debate as to whether or not there was a COVID-19-caused exodus from coastal cities remains rampant. Regardless, the availability of remote work has opened up the doors to even the most secluded places in the nation. From small farming communities to suburbs and still in the city centers – the world is now the millennial workers’ oyster. Communities are now vying to bolster their marketability via connectivity – getting the gigs means tapping into money from the gig economy. As many millennials are graduating to the “nesting” phase of human development and eyeing purchasing homes, experts are pondering exactly how they will go about those choices.
Millennials by nature are tough to pigeonhole: adept at technology, many also appreciate the old school ways of doing things – for example, their love of vintage vinyl and record players. And they make up a huge segment of the population – 83.1 million in the United States alone.
Let there be no doubt: the bullseye of the future of purchasing rests squarely on millennials’ shoulders.
According to Forbes, price is a big driver of their purchasing decisions as is brand loyalty that surfaces from being treated well and fairly.
“66% of millennials would switch brands if offered at least a 30% discount,” according to the article and on the flip side: “60% of millennials state loyalty to brands they currently purchase from if treated well through the customer-centric experience.”
Ah, millennials: loyal, but only to a point. As passionate as they are known to be, it appears pragmatism wins in the end.
How do those spending habits translate into the real estate world?
Disruptor technology platforms like Nobul, which is an app that aims to educate first-time home buyers and facilitate transactions between buyers and agents, are setting up to be the primary way that millennials make large purchases.
Basically, platforms are increasingly becoming available that allow for price shopping and better deals while negating the necessity of having to share personal information right off the bat.
In other words, thanks to companies like Nobul, millennials can now buy or sell homes with less headaches and more education. Being that most millennials make or decide on their purchases online – it seems a solid step.
Although prone to spending sizable amounts on coffee and trendy restaurants, millennials are thrifty spenders in many other areas, with a majority entirely lacking a credit card. Companies that facilitate their frugal ways while paving the path to purchases stand to benefit.
CNBC reporting in 2019 stated that over 60% of millennials reported living paycheck to paycheck while spending nearly $500 a month on nonessential luxury items. Many currently have less than $1,000 in their savings accounts. Still, there is an anticipated shift this next decade as millennials shake off student loan debt and secure higher-paying jobs. Big business is banking that the difficult-to-predict millennials will suddenly become a lot more predictable as they plan for the future. Facilitating purchases – even large ones – where their techy ways can shine should prove a win-win for millennials and the businesses that seek to sell to them.