The real estate industry is undergoing another change with millennials slowly saturating the luxe home market. Read on to learn more about this trend and discover what makes this generation of buyers different from the rest.
Who are these new buyers?
In recent years, there have been a surprising number of millennials purchasing million-dollar residences. These 23- to 38-year-old buyers make their money as doctors, lawyers, tech industry employees, and the like. Other millennial buyers who come from wealthy families draw on other sources of income to access top-line real estate.
According to the luxury market experts at Unity Marketing, millennials made up the largest generational segment in the luxury market in 2018 – it’s a trend that’s expected to hold sway until 2020. This generation of consumers is less concerned with traditional status symbols like designer handbags and sports cars, and more interested in having homes equipped with the high-end amenities.
Why are millennials passing up on starter homes and traditional homeownership?
There are fewer millennials buying starter homes compared to Baby Boomers and previous generations. This could be attributed to a number of factors which include millennials getting married and having kids later in life.
A chunk of high-income millennials also prefer to rent until their early to mid- 30s so they can save enough money to purchase a luxury home. This generation of buyers are choosing to pass on the “starter-home phase” and plunging directly to the luxury home market as soon as they’re ready to buy their first home.
Here’s another trend: affluent millennials are choosing to continue renting in the city while owning a vacation or country home. It’s an alternative to owning a primary residence. Most high-income millennial buyers do not see the need to buy a starter home because renting in the city fits their ccurrent idea of lifestyle.
What features do millennials want in their home?
Millennials searching for hieg-end homes are putting individualism ahead of every other need. This generation wants their homes to complement their lifestyle and meet their specific needs. They want homes that are close to a lot of great shopping, dining, and entertainment options.
They are also less interested in architectural styles and more focused on the amenities and features of the home. Their most sought-after home features including the following:
- Outdoor/Indoor living
- Spa bathrooms
- Gourmet kitchens
- Secondary kitchens
- Wine storage
- Working pantries or sculleries
- High-tech security system
- Smart technology
- Fitness Spaces
- High-end materials
- Collector Garages
Millennials are also looking for homes with space – properties that are from 5,000 to 20,000 square feet.
Aeris House Properties knows all about extraordinary Arizona homes and can help you find the property that meets your Current Idea of Lifestyle. Whether you’re a first- time home buyer, or looking for a second home, get in touch with our team today. Learn more about what Arizona has to offer by calling 602.466.9771 or sending an email to info(at)aerishouse(dotted)com.