It is important for real estate agents to stay abreast with the latest news and trends in the industry to provide the best outcomes for clients and help in developing their business strategies.
A recent industry survey found a significant generational shift in terms of buyer preference where they seek convenient and cheaper lifestyle and living options.
Gen Z respondents or those born from 1995 who comprise the highest percentage across generation groups and makeup almost double the national average said they would choose apartment living.
Different strokes for different folks
The primary reason for their choice is based on their current financial positions, where apartment living fits into the equation with their major considerations for their choice is that it is “cheap” and provides “low cost of living.”
Of all the Gen Z respondents, three in five state that “cheap”has become a primary reason following the impacts of the global Coronavirus pandemic.
It is understandable for the newer generations to gravitate towards this option because in Australia, housing affordability has become an issue in recent years compared to previous generations- a concept that apartment living marks the main boxes in their checklist when looking for a home.
Aside from affordability considerations, the survey also found that Gen Z respondents are attracted to a more modern lifestyle and would choose to stay close to urban centres.
While the survey revealed that older generations preferred freestanding houses, it is the younger generations that shifted the weight over to apartment living which included most of the baby boomers and millennials in the mix.
Common factors
The factors that affected the respondents’ choices were good air-conditioning or heating, safe location, proximity to key infrastructure and facilities, low cost of living, ample and secure parking, indoor space, and adequately-sized outdoor living space.
The major factor that spans across all younger generations is affordability.
Remember, it is important for real estate agents to be aware of industry trends if they want to develop their targeting strategies. When they begin to understand consumer and market behaviours, they will be able to expertly navigate and take advantage of the market to their benefit.