The National Association of REALTORS® recently published its 2017 NAR Home Buyer and Seller Generational Trends report, and there is some great information that you can glean from the findings. For example, millennials (age 36 and younger) are the largest group of homebuyers at 34 percent; Gen Xers (ages 37-51) are 28 percent; younger boomers (ages 52-61) are 16 percent and older boomers (ages 62-70), 14 percent. It’s apparent that the different generations display varying trends, and working with an affiliated agent who understands generational trends can typically benefit both sellers and buyers.
Millennial Home Trends: As the largest group of homebuyers, millennials gravitate towards tradition and community. The same report showed that this group tends to invest and purchase in suburban locations with a preference for detached single-family homes. NAR statistics reported that nearly half (49 percent) of buyers 36 years and younger have children under the age of 18 in their home and 66 percent are married couples.
Generation X Home Trends: As the highest-earning group of homebuyers with an average household income of $106,600, Gen Xers are most likely to be married and still have children under 18 in the home, the NAR report showed. This group typically owns the highest median-priced homes of the generations and is most likely to buy the largest home with the most bedrooms. Their purchase decisions are largely dictated by proximity to work and quality school districts.
Baby Boomer Home Trends: As the most diverse group of homebuyers, younger boomers (ages 52-61) are more likely to buy a multi-generational home because many have children over 18 still living at home and are also caregivers to aging parents under the same roof, NAR reported. Younger boomers purchase or sell for a variety of reasons, including job relocations or the desire for a smaller home. Older boomers (ages 62-70) typically have their minds on retirement and are usually empty nesters, so they typically prefer smaller homes and to be close to family, friends and community.