6 Housing Perks Millennials Are Looking for Today
Millennials aren’t buying homes. It’s a trend we’ve been seeing for years — the majority of Americans aren’t becoming homeowners until their mid-to-late 30s, and that number is rising. For some, the problem is affordability, but others simply don’t want the burden. Houses are suburban and stationary — two things Millennials are not.
Check out the top markets for Millennials, and you’ll see cities like Austin, San Francisco, and Denver. Members of the younger generation are all over the downtown areas; the only young professionals living in the suburbs are those who can’t afford to move out of their parents’ basements. Cities may be expensive, but that’s because people want to live in them.
From their parents’ houses to their college dorms (and then to their first long-term, unfurnished leases), Millennials are looking for something newer and better. This is particularly true for kids moving to new areas for their first big jobs. Those newer, better options — like short-term, furnished rentals — are just around the corner. This is what the on-demand economy was designed for, and housing is becoming a big part of that.
Millennials and Sharing
Ownership isn’t a major priority for the Millennial generation. They don’t bother with cars;they’d rather take the subway or bike to work, saving their money to spend on experiences. In a recent survey, 66 percent of Millennials said they found fulfillment in experiences (rather than in possessions), and 62 percent planned to increase that spend.
This same outlook applies just as much, if not more so, to the housing market. Millennials would rather live with roommates than alone. When they go on vacation, they don’t check into a hotel; they find an Airbnb. For the younger generations, there is no appeal in nondescript pictures of standard hotel rooms; they prefer to see the exact place they’ll be staying in, then book it with the click of a button.
The On-Demand Economy
This is just one aspect of the on-demand economy that is transforming America. The trend is sweeping industries across the board. With Instacart or DoorDash, people can get groceries and meals delivered with a few clicks on their smartphones or tablets. Uber allows people to grab a taxi at a moment’s notice without having to leave their apartments and wave their arms in the air.
There’s a reason that PricewaterhouseCoopers is projecting the sharing economy to grow to $335 billion worldwide by 2025, and that reason is the Millennial generation.
What Millennials Want From Apartments
So what do Millennials look for in an apartment? Here are the six big asks:
1. Short-Term Rentals: Ninety-one percent of Millennials expect to stay in a job for less than three years. Older people may turn up their noses at this job-hopping, arguing that it damages long-term career prospects, but Millennials find excitement in change. When a new job could take them to new cities, states, or countries, it’s easy to see why Millennials prefer short-term rentals. It makes good financial sense.
2. Furnished: When you’re bouncing from one place to another without a car, you don’t want to have to take a couch with you. There’s only so many times you can ask your parents to help you move across the country. Millennials like furnished apartments because these give them the opportunity to experience living in a variety of hip neighborhoods without having to worry about massive possessions tying them down.
3. Innovative and Personalized Solutions to Problems: Millennials don’t want to waste time resolving issues that can be dealt with by technology. They may not be as tech-savvy as people claim, but they are tech-dependent. Offer them the chance to control their heating and lights with their iPads, and they’ll be ecstatic.
4. Convenient Amenities: Young people live downtown because they can walk to restaurants, work, and movie theaters. It’s even better, however, to have amenities available on-site. Millennials are more health-conscious than previous generations, and they love having access to gyms. They want the most bang for their buck, so if your property includes access to communal resources like a beach, pool, hot tub, or sauna, you’ve got a winner.
5. Accurate Information: There’s nothing more frustrating than getting to a place and finding it’s not what you thought it was. Just as people expect ease of use from the devices they work with, they also expect perfectly accurate,up-to-the-minute information. Don’t promise what you can’t deliver.
6. Customization: Millennials may not want to bring their own furniture, but they love customizable spaces. Whole blogs have grown up around compact living, and the Internet is awash with tips on how to get the most out of a rental property. Being flexible with the paintwork keeps potential renters happy.
At the heart of these asks are three ideas Millennials love: sharing, mobility, and optionality. How many of the asks did you tick off? Focus on these and you’ll cater to the needs of the Millennial market.
