According to the National Association of Realtors® (NAR) 2023 Home Buyers and Sellers Generational Trends report, there’s a new generation of home buyers entering the real estate market. Generation Z, born after 1997, is officially entering the homebuying market, and as they and younger millennials (ages 24 to 32) look for homes, they are looking for specific amenities within their homes.
As these young buyers drive the demand for what homes should offer in 2023 and beyond, expect to see the following 5 features continue to grow within the market.
Smart technology
Homes are growing increasingly smarter by the day, which means younger buyers are looking for significantly more than timed lighting and doorbell cameras. These buyers grew up comfortable with technology, and they want the convenience that comes with it. That means smart home technology is highly desired by young buyers, because it puts them in control of their daily lives.
Today’s smart homes feature fully connected devices that streamline everyday life. Smartphones and voice assistants help homeowners control everything from their thermostats to security systems to appliances and front doors. And “If This Then That” (IFTTT) technology simplifies everyday activities, so lights can automatically turn on when a person arrives home, blinds can close on command, or an outlet flips on when someone walks in the room. It’s all so a homeowner can simplify their day and focus on other more important tasks.
New construction should be outfitted for smart home technology. And if you’re considering selling a home and want to attract a younger buyer, consider making simple upgrades with smart technology, which is a cost-effective way to entice this demographic.
Home offices
A recent report from Zillow shows that the mention of home offices is increasing in listings — from 4.5 percent in 2022 to 11.5 percent in 2023. And there’s a reason for that. Younger buyers are driving demand for remote work. And that means they’re also driving demand for home offices.
Builders are getting creative with home offices, tucking them into discreet spots that are quiet, yet highly functional. Some offices are shared spaces in kitchens, which can be tucked away when not in use. And many offices are making use of bold colors and patterned wallpaper to make a statement.
If you’re considering selling, look for under-utilized spaces, such as closets or spare rooms, and consider staging it to showcase a unique home office a younger buyer will love.
Well-designed pantries
The National Association of Home Builders (NAHB) reports that home sizes are decreasing as first time buyers enter the market. But rather than sacrifice, they want smarter-designed spaces. Smartly designed pantries are one of those must-have options to keep the kitchen organized and efficient.
While the NAHB says buyers prefer walk-in pantries, younger buyers are concerned about space. Pull out drawers, open shelving, and double cabinets provide storage solutions that young buyers appreciate. This demographic is also drawn to bold colors and wallpapers that can transform a basic pantry into something more appealing.
Sellers can consider subtle, cost-effective upgrades like paint, a new light fixture, updated hardware, and simple storage solutions. These updates can shift an underwhelming pantry space into something more desirable.
High-end laundry rooms
The NAHB puts beautiful laundry rooms at the top of their list of most sought-after home features from the up-and-coming generation of buyers. In fact, like home offices and pantries, buyers are looking for well-planned rooms that make the most of storage and counter spaces. And they want high-end washers and dryers that work with their smart homes.
If space allows, many buyers are asking for utilitarian spaces that are also attractive. They want spaces that include a pet-washing station and a mudroom with storage. Today’s laundry rooms should have as much aesthetic design as the rest of the home, because that’s what young buyers want.
As is the case with home offices, if you are considering selling your home, simple upgrades to paint, lighting, and fixtures can make your laundry room a major selling point. Even if your laundry space is small, adding décor, greenery, and storage like baskets can draw in the eye and convince a buyer yours is the right home.
Outdoor living spaces
The pandemic began driving people outdoors, and that trend has stuck with young buyers who are putting dreamy outdoor living spaces high on their list of must-haves. Zillow reports backyards were mentioned in listing 22 percent more often in 2022 leading into 2023. And Gen Z, specifically, wants pet-friendly yards and homes with features for their furry friends.
The Zillow report also said the younger generations are looking for sustainable and low-maintenance exteriors, including landscaping that is resistant to droughts. They’re also looking for features that reduce stress and create a sense of calm. A combination of biophilic design, where the outdoors seamlessly extends indoors, and eco-friendly materials will capture their attention.
If you’re thinking of selling, focus on creating a welcoming outdoor space that will inspire young buyers to imagine relaxing and entertaining.
Final thoughts
Young buyers are the future of the market in the Triangle area. By focusing on the features these buyers want most, they’ll be entering into the real estate market with a positive, happy experience that’s beneficial as the region continues to grow.
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