85 Million Strong & They Want Homes
Here’s a hot tip: While the rest of the real estate industry is distracted — lusting after millennials, ignoring Gen Xers and barely tolerating baby boomers – get to know the next big thing, Generation Z.
Gen Z is expected to count nearly 85 million members by 2020, making up almost 25 percent of the nation’s population, according to a study published by Fung Global Retail & Technology.
The oldest members of this generation turn 23 in 2018 and there are already statistics showing that they will be buying homes.
Known as “digital natives,” this generation is the first to be oblivious to “life without technologies and services such as smartphones, iPads, Facebook, Instagram,” according to the study.
Who they are
If you’re an agent of a certain age, I have some scary news for you: your grandkids are about to enter the housing market.
What’s even more frightening is that, according to The Center for Generational Kinetics, members of Gen Z think millennials are “old.” Imagine what they think about their grandparents – the baby boomers.
If you’re a member of the latter, the good news is that your grandkid can be your laboratory when you decide to pursue this younger generation. The rest of the real estate industry has a steep learning curve ahead of them because members of Gen Z, although more like boomers than millennials, have little in common with any generation that came before.
What they’re like
To the so-called “super entrepreneurs of tomorrow,” business and making money are already top-of-mind, but don’t look for them to get there using the same, conventional methods.
Non-conformists, much like their grandparents’ generation, these digital natives are “a generation whose entire world and self-views are crafted by technology, immediacy and access,” Sherry Chris, president and CEO, Better Homes and Gardens Real Estate tells RISMedia’s Maria Patterson.
Although young, they seem to be learning from their predecessors, already socking away money for retirement. In fact, according to the Center for Generational Kinetics, nearly a quarter of Gen Zers had a savings account before they turned ten.
How will this group’s fiscal responsibility impact the real estate market?
Almost all of the Gen Zers surveyed in a Better Homes & Gardens ® survey say they will buy a home and 80 percent believe that homeownership will lead them to the American Dream.
What will it take to work with them
It’s amazing the things scientists are able to measure. Attention spans, for instance. Apparently Gen Zers’ attention spans (eight seconds) are four seconds less than millennials’, according to Anna Fieler, executive vice president of marketing at POPSUGAR.
Remember, this is the demographic that dominates on Snapchat and Instagram (they claim Facebook is for “older people,” according to Andrea V. Brambila at Inman.com), so communicating with them means getting to the point almost immediately. They are practically attached to their smart phones, so texting will get you a lot further than an email.
“In fact, the rise of Gen Z should sound the alarm for all that a targeted Internet strategy is vital for reaching this cohort …,” warns Allen Shayanfekr, CEO and Founder of Sharestates.
While social proof is important to millennials, gen Zers won’t consult Yelp or Zillow reviews to find an agent. It’s their friends’ opinions they rely heavily on, so providing the kind of customer service that garners referrals will be more important than ever.
Gen Z represents a pool of very motivated real estate consumers. Start gearing up for them now and you’ll be a step ahead of your competition. Take advantage of our Mailing List Page Option 2 Demographic Search to create a targeted mailing list of Gen Z’s.
Need help creating your targeted list or anything else? Contact our marketing team at 866.405.3638. They’re incredibly knowledgeable, and ready to help get you suceed!