The Perennial Millennial: 3 Key Things To Know

01/30/2017

Millennials, the largest living generation, will shape the housing market for years to come. This group provides a huge opportunity for homebuilders, and we want to help you better understand them. Our resident Millennial, Ali Wolf, Manager of Housing Economics, recently conducted a survey (over 1,000 responses in 48 states) on this cohort and here she explains three key findings.

1. One size does not fit all. Ali explains, “this seems obvious, but as I started to research Millennials, I would hear people definitively talk about what all Millennials want. Even myself, being a Millennial, thought I knew this cohort really well. However, the more I researched this group, the more I realized that trying to analyze 75 million people under 35 was really hard”. Even when narrowing this down to age group, one has to remember a 25 year old in Muncie, Indiana is often thinking differently than a 25 year old in Newport Beach, California. And even within Newport Beach, there will be 25 year olds thinking differently. This solidified the need for granular and targeted consumer research when trying to understand these buyers in your market.

2. 55% want to buy in the next 1-5 years. Most of us know that Millennials want to own a home one day, but did you realize that that ‘one day’ is pretty soon? In our survey, 30% of Millennials wanted to purchase a home in the next 1-3 years, and 25% want to own in 3-5 years. Extrapolating the survey to the larger population, this means nearly 25 million Millennials plan to purchase over the next 3 years.


Source: Meyers Research Millennial Survey; December 2016

3. Location is valued most. We asked our respondents about what they valued most about where they live, offering up 10 choices. Location came out on top, followed by price and outdoor space. Note, the outdoor space answer was not exclusive to warmer climates; we also received this answer from different markets across the Midwest and Northeast. When it comes to location, in some markets, urban is desirable, but in many, that’s not the case. In our survey, 45% of respondents lived between 11 and 30 minutes from work.

Source: Meyers Research Millennial Survey; December 2016

These highlights just skim the surface of our research. Our survey produced more valuable insights we will be highlighting at some of our Frame events across the country.

Please contact us to discuss how we can help plan for and/or target Millennials in your market.

Ali Wolf, Manager of Housing Economics
EMAIL ALI  |  ALI’S PROFILE 

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