Introducing the next generation of home buyers
Now more than ever, people are more comfortable conducting business virtually, and social-selling is creating brand new ways to shop. In an on-demand-centric era, products are flying off the virtual shelves with just the click of a button, but there remains one industry that has yet to adapt to this online age. That industry? Real Estate. Buying a home is still an extensive process as it consumes your time and energy. Real estate agents need to coordinate a time with their client, stage the property, and hold an open house all in hope that the right buyer MIGHT cross the threshold.
The home buying market in 2020 was unprecedented. In the midst of a global pandemic, inventory was scarce, prices were skyrocketing, and buyers were tempted more than ever to take advantage of record-low mortgage rates. The pandemic completely altered the way people work, as many companies were forced to give their employees the freedom to work from home amidst the safety restrictions and ordinances. As a matter of fact, 44% of Americans say they worked remotely at some point in 2020. But how does this affect the real estate market? Simply put, this shift from office-life to home-life is changing the way people want to live. Times have changed and a new wave of buyers is upon us.
Today, the largest market for home buyers is Millennials as they make up roughly 50% of home buyers in the United States. In the process of starting a family or entering a new phase of life, they yearn for convenience and speed, two things that the home buying experience is desperate for. Digitally-native, Millennials account for over 75 million individuals entering the housing market each day. Despite the industry’s lack of efficiency, millennials were the dominant home-buying demographic in 2020- purchasing 38% of all homes sold.
From 2019 to 2020, Generation Z experienced the largest year-to-year growth of any home-buying demographic, more than doubling their percent in ownership. Although they might be the smallest homebuyer demographic, they are the fastest growing one and understanding this young, but influential generation is pivotal to getting them to commence the buying process. Generation Z, or “zoomers” are the most ethnically diverse generation on record and are the first generation to be born with direct access to smartphones, social media, internet, and all of the other commodities that come with modern technology.
These two generations have been conditioned to assuage their needs with on-demand services. This has become more of a modern-day lifestyle with rideshare apps like Uber and delivery apps such as GrubHub, Slice, and UberEats dominating consumerism. They need anything and everything to happen fast and conveniently. The real estate industry has yet to adopt this methodology as today’s home buying process is slow, inopportune, and out of touch with consumer needs.
Currently, 90% of home buyers begin the search for their dream home online. Once they find a home that piques their interest, they are able to schedule tours and connect with a real estate agent online. More interestingly, seven out of ten home buyers find the home they want through their own search efforts. This information identifies the fact that consumers are more self-serving now than ever before! In a day in age where any information you need can be discovered in seconds with just a tap of your finger, real estate professionals are dropping the ball while letting the two biggest cohorts in the industry fall through the cracks.
To reach these buyers, it’s evident that the real estate services of finding, touring, and buying must evolve. This new generation of buyers expects transparency at every level of the buying process, and Nuhom is giving them just that. Reimagining the home-buying process, Nuhom is bringing the consumer more savings, satisfaction, and convenience. Browse available homes, schedule private tours, get a customized pricing analysis, and when you're ready, submit an offer online in an instant. Unlike traditional agents today, Nuhom gives 1% of the home purchase price back to the buyer just for using our home buying technology. Nuhom’s team of top real estate advisors, real estate attorneys, lenders, and home inspectors will help guide you through every step of the process, leaving you to focus on preparing to move into your new home!