Today, Baby Boomers and Millennials make up the largest demographic in the nation. These two generations will dominate the housing market over the next decade as they prepare to buy new homes. We need to know how we can meet this demand as home builders, architects, and design merchandisers.
Combining design features these buyers want can help us appeal to them both and give them what they’re looking for.
Similarities:
- The desire to downsize. Millennials don’t have a lot of “stuff,” while Boomers no longer need as much space if they are empty nesters. Both are searching for smaller homes to call theirs. The median home size for both buyers is anywhere from 1,850 to 1,900 sq. feet.
- Make sure you have plenty of kitchen space. Everyone gravitates towards the kitchen when there is a party. It’s the “heart” of the home. This is what Boomers, Millennials and others recognize and love. Homes that have an open kitchen are ideal for hosting guests or cooking as a family.
- An open great room. The buyers envision fun and social interaction happening in one place. Both Millenials and Boomers are “experience oriented” and, therefore, often entertain family, friends, kids, grandkids or co-workers. Both types of buyers love the idea of combining living, dining and kitchen spaces to create a place that is adaptable for different situations.
- They love the outdoor living spaces they have. Boomers and Millennials both love outdoor living spaces.
- Flex rooms can be provided. The boomers want extra space to grow and change with their interests and hobbies. The space needed by millennials is flexible enough to accommodate their growing family. Both buyers will appreciate having this space in their plans.
- Animals also require love. Boomers as well as Millennials consider pets family. Both Boomers and Millennials value their pet’s space as well as their storage needs. Buyers will love to see your buyer’s built-in laundry storage or a spot under the stairs that can be used as a pet bedroom.
- Take it easy when climbing the stairs. Many Millennials have to work with a rapidly growing family. For Boomers, space is important so they are able to relax and enjoy life. Stairs can be a problem for both of these lifestyles. Avoid stairs when possible.
Differences:
- Separate living rooms. In their previous homes, Boomers often used formal living areas that they did not use. Boomers do not want to have an extra living room. This creates a void space and requires extra maintenance. Millennials, on the other hand, want a separate living room to “show off” for guests. Although this might be considered “formal” living space, Millennials will keep this area more casual than the Boomers’ previous formal living rooms.
- This is the great garage debate. Millennials embrace transit and ridesharing because they are aware of the impact on their environment. Although they don’t need to park their vehicles in a garage, they might use the space for storage of bikes, sports equipment, or gardening supplies. They may rather have their garage in the house, than in an enclosed space. Their garages can be used by Boomers for many purposes. Some use their garages as extra storage space, workspace or to store golf clubs, skiing equipment, and other items. A three-car garage is a common requirement for boomers, even though they have one car families.
- It is important to be energy efficient. The Boomer generation is attracted to energy efficient homes because they save them both time and effort. 76% will pay an extra $100 per month for energy efficiency upgrades that could save them money. These types of features should be standard in every home, and millennials don’t mind paying an extra for them.
- Storage. The Boomers at this stage in their lives are downsizing, but they don’t want to give up all the things that have been accumulated over the years. 71% would be willing to pay an additional $5,000 just for storage. Because memories are far more valuable than material objects, only half of Millennials will pay extra for storage.
- You can’t go wrong with location. Boomers are attracted to premiums that can be applied for great homes. Millennials are not so fortunate. Millennials have less money and are therefore more concerned with being near good schools, parks and shopping than having a property on a prime site in the neighborhood. Boomers are able to afford the most beautiful homes in desirable parts of town.
There are surprising similarities between Boomers and Millennials, as well as some significant differences. Architects, builders, model-home merchandisers and designers can help these buyers visualize their dream homes by paying close attention to the things they want. This double play is possible when communities and homes are made to appeal both to the two segments of buyers and to their common interests.