minnennial buying trends. and go!

What is a minnennial some may ask? Anyone born between 1981 and 1996 (so a recent college grad to a mid-thirties peep).  What does this mean--> LOTS of first time home buyers are in the marketplace. 
So, what are minnennials seeking in a home?  

1. Well, a lot is driven by what they bring with them, figurativally, that is.  STUDENT DEBT.  Over 50% of students graduate with student loan debt, with the current National average being $37,172 for an undergrad degree. Put another way, that is a 20% DOWN PAYMENT on a $185,000 house.  Yet, minnennial buyers, at 85%, are the most likely generation to see buying a home as a savvy financial investment. 
2. Interest rates (are rising).  Rates are likely to climb above 5% (this is a seven year high).  In the long term, the cost of home ownership is going up.  For example, for a 30 year mortgage on a $300,000 home going from 3.5% to 5% means an increase of $263.33 a month in mortgage payment, for a whooping $94,799.09 more over in cost over the life of the mortgage. That is some serious chunk change. 
3. Competiting with the boomers.  'Surban' areas, a mix of suburban and urban features, including affordability, walkability, smaller home sizes with more upgrades, open green space and strong public schools.  Baby boomers and minnennials are seeking these ideal combinations.  Another term to watch for with regards to surban is '18 hour cities' --with examples like Kansas City and Charleston, SC. Moving Midwest is also happening from the coasts due to lower housing costs, healthy job opportunities and low unemployment (AKA lower crime!)--examples include Madison, Des Moines, and Omaha.  
4. Going GREEN BABY!  Minnennials are actively seeking energy-efficiency  from lowing heatings/cooling home costs to community composting. Curious to learn more, measure your carbon footprint.  
5. Sweat Equity.  Thank you HGTV and DIY blogs.  This is huge for me personally, which you know if you are reading my blog! This means the realtor needs help clients see the potential that exists with a little elbow grease. 
6. Social Media. Social Media. Social Media.  Much like location, location, location in real estate, social media continues to be a game changer, especially for the minnennial generation.  They know how to research and will prepared when they arrive at the real estate table. 

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