Excerpt via Denver Post
December 26, 2019
New decade, new real estate trends
Just as many of us choose to make some changes in our lives come the new year, the housing market is expecting to see some changes in how people are buying and selling homes in 2020.
As the baby boomer generation prepares for its next step, many of this generation may choose to downsize from their large homes to smaller houses, leaving behind a wave of homes on the market. This phenomenon is being called the “silver tsunami.” This is a trend that is expected to bring more than roughly 920,000 homes onto the market each year between 2017 and 2027, according to an article by MarketWatch.
The newly listed homes will likely be purchased by millennials, which refers to people between the ages of 23 and 38, who are quickly becoming one of the largest pools of homebuyers. According to the National Association of Realtors and Sellers Generational Trends Report, millennials comprised 37% of homebuyers in 2019. In order to market homes to this new homebuyer profile, it is important to understand who they are and what their priorities are.
Many members of the millennial generation are more concerned with finding homes that have features that align with their own personal values and lifestyle goals. And although more millennials are beginning to purchase homes, their ideal homes may be different from the homes that baby boomers are exiting.
What’s more, the millennial generation that was once known for clinging to urban areas is now creating its own happy medium between city and suburb, dubbed “hipsterbia.” This newly coined term is defined as smaller, suburban communities with more single-family homes paired with ideal access to shopping, dining and entertainment options.
As we enter 2020, we can look forward to the new year and witnessing new trends within the housing market. But no matter the conditions, trust a professional real estate broker to guide you through the process of buying or selling your home.