{"id":4765,"date":"2024-03-06T19:28:53","date_gmt":"2024-03-06T19:28:53","guid":{"rendered":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/2024\/03\/06\/generation-zs-must-haves-when-buying-homes-and-the-one-thing-they-refuse-to-live-without\/"},"modified":"2024-03-06T19:28:53","modified_gmt":"2024-03-06T19:28:53","slug":"generation-zs-must-haves-when-buying-homes-and-the-one-thing-they-refuse-to-live-without","status":"publish","type":"post","link":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/2024\/03\/06\/generation-zs-must-haves-when-buying-homes-and-the-one-thing-they-refuse-to-live-without\/","title":{"rendered":"Generation Z\u2019s Must-Haves When Buying Homes\u2014and the One Thing They Refuse To Live Without"},"content":{"rendered":"

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Realtor.com \/ Getty Images<\/p>\n

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Caleb Hall\u00a0<\/strong>is running out of time. The 25-year-old mechanical engineer and his 23-year-old wife, a nurse, have been looking for a home of their own for the past six months in the Huntsville, AL<\/a>, area. Their only must-haves are the home must be relatively move-in ready, be in a safe community, and have a garage where Hall can repair the couple\u2019s vehicles.<\/p>\n

But they have yet to have an offer accepted\u2014and their first child is due in June.<\/p>\n

\u201cIt\u2019s pretty difficult and discouraging,\u201d says Hall. \u201cWe\u2019re stuck in this limbo. I have a great job, and we have a decent amount of money saved up in the bank, and we just can\u2019t find a house to buy.\u201d<\/p>\n

About two-thirds of Generation Z, born between 1997 and 2012, believe it\u2019s still possible to become homeowners, according to a recent Realtor.com\u00ae survey<\/a>. But for these budget- and convenience-minded buyers, the oldest of whom are turning 27 this year, breaking into the market when home prices and mortgage rates are so high<\/a> is a challenge. So they\u2019re willing to make trade-offs in the size, location, and amenities of the home\u2014except when it comes to laundry<\/a>.<\/p>\n

While roughly 18% of this generation are already homeowners, according to John Burns Research & Consulting<\/a>, the vast majority are not and nearly half live with family.<\/p>\n

\u201cAt their core, Gen Z still aspires to homeownership,<\/a>\u201d says Chris Porter<\/strong>, chief demographer at John Burns. \u201cThat will happen later for them because housing affordability is a big challenge.\u201d<\/p>\n

Last month, Hall saw one move-in ready, three-bedroom, two-bathroom home in a \u201cdecent area\u201d listed at $285,000, the top of the couple\u2019s budget. However, the 1,300-square-foot abode received six offers in two days. It went to an all-cash buyer who waived the appraisal contingency.<\/p>\n

\u201cThe houses that are listed at a decent price just get swept up really quickly, and swept up by people who are coming in with a lot of equity,\u201d says Hall. He and his wife expect to stay in their rental for the time being.<\/p>\n

\u201cWe\u2019re hoping that things will get better, but it\u2019s really out of our control,\u201d he adds.<\/p>\n

What Gen Z homebuyers are willing to give up<\/h2>\n

Owning a large home isn\u2019t as important to Gen Z homebuyers.<\/p>\n

Realtor.com<\/p>\n

Gen Z has developed a reputation for being more frugal<\/a> than prior generations (such as the millennials with their avocado toast<\/a>.) The oldest came of age during the Great Recession in the late 2000s, and many saw their families struggle. And as these younger folks are just getting started professionally, they typically earn less than their millennial and Gen X peers.<\/p>\n

So it\u2019s not surprising that with the cost to purchase a home so high, Gen Z is looking to save wherever they can. That might help to explain why owning a large home isn\u2019t as important to this generation, say real estate and generational experts.<\/p>\n

Recent college graduate\u00a0Riley McConnell<\/strong>, 22,\u00a0hopes to eventually move into an apartment with her partner somewhere affordable where she can launch her career. For now, the marketing and communications coordinator is currently working with her grandfather, a demographer, and living with her parents in Connecticut.<\/p>\n

She and other members of her generation are open to choosing apartments, condos, or townhouses over single-family homes, she says. The smaller units are cheaper and easier to maintain.<\/p>\n

\u201cHaving a house is a lot of work,\u201d she says.<\/p>\n

Many are willing to give up garages and large kitchens to get into a home of their own, says demographer Porter. But they want to ensure that every square foot counts with rooms in their homes being functional and multipurpose.<\/p>\n

For members of Gen Z, their homes might also be their place of work, at least for a portion of their week. So they\u2019re looking for properties with home offices or quiet areas where they can log in for the day.<\/p>\n

Properties that offer a home office or quiet area to do work in is important for Gen Z.<\/p>\n

Getty Images<\/p>\n

\u201cHome technology and access to [high-speed] internet is really, really important, too,\u201d says Mark Beal<\/strong>. He is a public relations professor at Rutgers University who wrote four books on Gen Z. \u201cThey\u2019re doing all their Zoom calls and meetings from home.\u201d<\/p>\n

They also expect their home to be wired with the kind of smart technology that will make their lives easier\u2014instead of just looking cool.<\/p>\n

\u201cTech is great, but it has to be sophisticated,\u201d says Jonah Stillman<\/strong>, co-founder of GenGuru, a consulting firm. He also co-wrote \u201cGen Z @ Work: How the Next Generation Is Transforming the Workplace\u201d with his father. \u201cWhen you\u2019ve never known a world without technology, you just expect it to be there.\u201d<\/p>\n

The one thing Gen Z homebuyers are not willing to compromise on<\/h2>\n

Having a washer and dryer is a must for Gen Z.<\/p>\n

Getty Images<\/p>\n

There is, however, one thing Gen Z homebuyers are not willing to do without.<\/p>\n

About four-fifths of Gen Zers wouldn\u2019t live in a home without a washer and dryer or central air conditioning, according to the John Burns survey. Also, 61% wouldn\u2019t move into a place without a dishwasher. Half require a private outdoor space.<\/p>\n

\u201cThe closer the laundry is is honestly what a lot of us look at, those little luxuries,\u201d recent college grad McConnell says.<\/p>\n

Work-life balance is important to her generation, she adds. \u201cYou go to work, and you don\u2019t want to go out [again] to do something as simple as laundry.\u201d<\/p>\n

These younger folks are also mindful of future costs.<\/p>\n

Hall, who is still looking for his first home with his wife, wants to avoid having to sink a lot of additional money into whatever property they eventually buy. He is trying to ensure the homes they bid on don\u2019t have older roofs or heating and cooling systems that might give out soon.<\/p>\n

\u201cIt would be tough to recuperate the costs if one of those has to be replaced,\u201d he says.<\/p>\n

It\u2019s not all location, location, location with Gen Z<\/h2>\n

Gen Zers are less interested in living in expensive downtowns and tend to seek out more affordable smaller cities and suburbs.\u00a0<\/p>\n

Getty Images<\/p>\n

Generation Z might not be as interested in living in expensive urban downtowns as prior generations were due to this shift toward remote and hybrid work<\/a>. This has enabled many to achieve homeownership by moving to more affordable, smaller cities and different parts of the country.<\/p>\n

\u201cRemote work certainly opens up more parts of the country to Gen Z,\u201d says Porter.\u00a0\u201cThey\u2019re looking for attainability and affordability. They\u2019re seeking out those geographic areas where that\u2019s achievable for them.\u201d<\/p>\n

They do, however, want to live near gathering places where they can be with other people. They\u2019re likely to be looking for areas where they can go out over the weekend to a brewery or high-end bowling alley, or enjoy some other experience they can\u2019t do online.<\/p>\n

\u201cWe know that Gen Zers are looking for big-city life, but they\u2019re not looking for those big costs that come with it,\u201d says Stillman.<\/p>\n

However, this doesn\u2019t mean that Gen Z won\u2019t eventually gravitate toward big cities when their careers take off. Many might even wind up buying those big homes in the suburbs as their salaries rise, housing costs come down<\/a>, and they start having families\u2014just like the millennials and prior generations.<\/p>\n

\u201cEach of our generations tends to go through the same stages, but they reinvent them,\u201d says Stillman. \u201cGen Z will hit many of the same stages, like a family and buying a home. But it\u2019s undeniable that Gen Z will likely reinvent how we do those things.\u201d<\/p>\n

The post Generation Z\u2019s Must-Haves When Buying Homes\u2014and the One Thing They Refuse To Live Without<\/a> appeared first on Real Estate News & Insights | realtor.com\u00ae<\/a>.<\/p>","protected":false},"excerpt":{"rendered":"

Realtor.com \/ Getty Images Caleb Hall\u00a0is running out of time. The 25-year-old mechanical engineer and his 23-year-old wife, a nurse, have been looking for a home of their own for the past six months in the Huntsville, AL, area. Their only must-haves are the home must be relatively move-in ready, be in a safe community,…Read More→<\/a><\/p>\n","protected":false},"author":0,"featured_media":4766,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[],"class_list":["post-4765","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-uncategorized"],"_links":{"self":[{"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/posts\/4765","targetHints":{"allow":["GET"]}}],"collection":[{"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/comments?post=4765"}],"version-history":[{"count":0,"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/posts\/4765\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/media\/4766"}],"wp:attachment":[{"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/media?parent=4765"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/categories?post=4765"},{"taxonomy":"post_tag","embeddable":true,"href":"http:\/\/billingsrealtybrokers.paradiseinnovations.com\/index.php\/wp-json\/wp\/v2\/tags?post=4765"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}