Today, Baby Boomers and Millennials make up the largest demographic group in the nation. Over the next decade, these two groups are expected to dominate the real estate market as they gear up to buy new homes. As home builders, architects, and design tradesmen, we must be prepared to meet that demand.
By incorporating design features that these buyers seek, we are able to successfully appeal to both groups, giving them exactly what they need, based on their similarities and differences.
similarities:
- The desire to reduce the size. Millennials don’t have a lot of “stuff,” while Boomers don’t need as much space anymore if they’re empty nesters. Both buyers are looking for a smaller sized home to call their own. Anywhere between 1,850 and 1,900 square feet is the average size that appeals to both types of buyers.
- Focus on a great kitchen space. Whenever a gathering is thrown, everyone eventually gravitates toward the kitchen. It is the “heart” of the home. Boomers and Millennials recognize this and are drawn to homes that offer a well-designed, open kitchen optimized for entertaining guests and cooking together as a family.
- A large open room. These shoppers envision fun, social interactions in a central area. Both Millennials and Boomers are “experience-oriented” and therefore often entertain family, friends, children, grandchildren, or co-workers. Integrating the dining, living, and kitchen areas into one space that can accommodate a variety of situations is ideal for both types of buyers.
- Outdoor living space they love. Whether grilling outside on summer nights, playing in the yard, or enjoying the sunset with friends and family, Boomers and Millennials alike demand outdoor space and are often willing to pay more of $5,000 for an improved outdoor area.
- Provide space for flexible rooms. Boomers are looking for extra space that can change over time to suit their hobbies and interests. Millennials need a space that can accommodate the ever-increasing size of their family. Having this space available in your plans is ideal for both types of buyers.
- Pets need love too. For Boomers and Millennials alike, pets are members of the family. Both groups appreciate a special space for their pets, as well as storage space for all their food, toys, and other necessities. A nook under the stairs for a pet bed or built-in laundry room storage will pique the interest of your shoppers as they envision a comfortable area for their furry family member while keeping food and supplies out of sight.
- Go easy on the stairs. Many Millennials are working in a fast-growing family with young children. Boomers are looking for a space that requires less physical maintenance so they can focus more on relaxing and having fun. For both lifestyles, stairs can be an inconvenience. Therefore, consider avoiding the use of stairs in your floor plans when you can.
Differences:
- Separate living rooms. Boomers had formal living rooms in their previous homes that were rarely used. Now, Boomers don’t want or need that extra area to live. Create unused space that requires unnecessary maintenance. Millennials, on the other hand, want a separate living room to “show off” to guests. Although this could be considered a “formal” living space, Millennials will keep this area more casual than Boomers’ previous formal living rooms.
- The Great Garage Debate. Being environmentally conscious, Millennials tend to embrace public transportation and ride sharing. You don’t necessarily need a garage for car parking, although you can use it to store bikes, sports equipment, or garden supplies. However, they may prefer to have the square footage inside the house, rather than in a garage. Boomers also use their garages for more than just cars. They can use them as work space, extra storage, or a place to store their golf clubs, skis, and other gear. Boomers often want a three-car garage, even if they’re a one-car family.
- Energy efficiency. Energy efficient homes appeal to the Boomer population, saving them time and hassle. In fact, 76% of them are willing to spend the extra cost of upgrades on efficiency packages that can save them at least $100 a month. Millennials feel that these types of options should already be included in the home and will not pay more for this feature.
- Storage. At this point in their lives, Boomers are downsizing, but they don’t necessarily want to get rid of all the items they’ve collected over the years. 71% of Boomers are willing to spend an extra $5,000 on an area designated for storage only. Because experiences are more important than tangible items, less than half of the Millennial population is willing to pay more for storage in their homes.
- Rent, rent, rent. Bonuses for fantastic land are popular with Boomers. This is not the case for millennials. With less money to spend, Millennials are more focused on being close to good schools, lush parks, and shopping, rather than owning a home in a prime spot in the community. Boomers have the means to buy a home with the best views, in a desirable part of town, or perhaps well situated on a golf course or near the beach.
Boomers and Millennials have striking similarities and some differences as well. By paying attention to what they are looking for, architects, builders, model home marketers and designers can deliver homes that resonate with these buyers and help them envision their dreams. When homes and communities are created to appeal to these two segments of buyers and their similarities, it really is a double game!