From Boomers to Zoomers: Home-Buying Tips for Every Generation

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Key Takeaways:

  • Buyers throughout all walks of life are wondering how to navigate today’s competitive housing market.
  • Whether you’re a Gen Z first-time buyer or a Baby Boomer looking to downsize, you should consider making a move to lock in your real estate goals.
  • Have questions about buying or selling? Contact us for personalized advice!  

What Every Generation Should Know About Buying a Home

As older members of Gen Z reach home-buying age and Millennials make up the largest share of the housing market, buyers from every generation are wondering if now is the right time to make a move. Buying a home at any stage in life comes with its own unique challenges, so it’s crucial to consider your future and factor finances into your decision.

Looking for advice? We’re here to offer some savvy real estate tips for every generation, from Gen Z to Baby Boomers.

Gen Z: The New Buyers on the Block

Gen Z home buyers

If you’re part of Generation Z, you were probably born after 1997—and the oldest “Zoomers” are just now buying their first homes at 24 and 25. Even though most members of Gen Z aren’t quite ready to tackle homeownership, this socially conscious and highly educated generation is setting goals for themselves when it comes to real estate.

According to a new survey by Homes.com, over 85% of Gen Z plans to buy a home before turning 35. So if you’re a Zoomer, now is the perfect time to begin saving and paying off any debt. Start researching the home-buying process, learning about different loan options, and setting aside as much extra cash as possible to build up your down payment (spoiler alert: it doesn’t have to be the traditional 20%). And if you have any questions, don’t hesitate to speak with an agent…it’s okay if you aren’t quite ready to buy!

Millennials: The Market Trendsetters

Millennial couple moving in

Millennials—known for their love of pets and avocado toast—comprise a whopping 37% of today’s total home-buyers. And after witnessing the 2008 market crash, a pandemic, and now record-low interest rates, they’re finally ready to buy.

Compared to other generations, Millennials waited longer to buy their first homes. This surprising shift can be attributed to rising student debt, the Great Recession, as well as a dip in marriage and fertility rates. However, if you’re one of the many Millennials looking to ditch renting and start build equity, it’s worth doing a deep dive on mortgages before beginning your search. Even if you don’t have a traditional 20% down payment saved up, you could take advantage of government backed loans or assistance programs. Remember—knowing exactly what you can afford and getting pre-approved will up your chances of securing your perfect place.

Millennials aren’t just first-time buyers, either—many have also stepped into the role of first-time sellers. If you’re selling a home without much experience, it’s more important than ever to work with the right agent. Don’t be afraid to shop around and interview a few candidates before settling on “the one!”

Gen X: Making a Comeback

Family with children

Gen X—classified as anyone born between 1965 and 1979—makes up around a quarter of today’s total buyers. And while they may not have the same momentum as Millennials, members of Gen X typically aren’t buying their first homes. In fact, many are looking to upgrade and purchase a home at a higher price point than any other generation.

Per a new survey by the National Association of Realtors, Gen X is the highest earning generation, and they tend to buy larger and more expensive homes to accommodate growing households. If you’re one of the many Gen Xers eager to upsize—perhaps even into a multigenerational home—you’ll want to take advantage of the equity you have in your current place. The right agent will be able to help you sell for top dollar and find a new house that checks all your boxes!

Baby Boomers: Downsizing…and Investing!

Senior adults holding a home

Baby Boomers born between 1946 and 1964 now face the reality of retiring and downsizing. This exciting season of life can come with a few challenges, as well as some unexpected opportunities! If you’re one of the many Boomers considering a move to a smaller home, it’s crucial to examine the equity you have in your current property. The average Baby Boomer has stayed in the same home for around 15 years—and in that timeframe, home values have risen by 50% or far more depending on your area. 

So, what should you do with all that extra money once you downsize to a more manageable house? Consider paying all cash for your new place, especially if you want sellers to notice (and accept!) your offer. And as you adjust to retirement, using that leftover equity to purchase an investment property could be an easy way to generate extra income.

Take Advantage of Today’s Once-in-a-Generation Market

No matter where you are in the home-buying process, it pays to work with the right agent. We’d love to help you achieve your buying and selling goals, or just answer any questions you have about today’s hot real estate market. Home prices are on the rise, mortgage rates remain low, and there’s never been a better time to make a move!

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Here’s Why You Shouldn’t Wait Any Longer to Invest in Real Estate

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Key Takeaways:

  • Even as home prices continue to climb, there’s never been a better time to get your foot in the door when it comes to real estate investing.
  • You don’t need a lot of money to diversify your portfolio—in fact, you have more options than you might think!
  • Whether you’re an experienced investor or a first-timer, you’ll want to work with the right agent to score a great deal.

What Buyers Need to Know About Real Estate Investing

Even if you haven’t bought or sold a house this year, you’ve probably heard wild predictions and statistics about the real estate market. As prices keep skyrocketing, would-be and experienced investors alike are wondering if now is the right time to add to their portfolios. Believe it or not, now might be a once-in-a-lifetime opportunity to purchase an income-generating property—and there are countless options from which to choose.

Still on the fence? Here are a few quick tips and tricks you need to know before investing in real estate.

Real estate investment isn’t only for the rich

Despite what popular shows on HGTV might tell you, real estate investing is something anyone can accomplish with careful planning and saving. You don’t even need any experience to get started—but having the help of a real estate agent will make all the difference.

Start by working with an agent who knows your local investment market. Based on your budget and goals, they’ll help you select a property that meets your needs and offers a high return on investment. Don’t just limit yourself to fixer-uppers—it’s worth considering land, single- or multi-family homes and condos, office space, or warehouses, too. 

With a little sweat equity, you can easily turn any investment into an income-generating property that will help you pay off your mortgage. The easiest way to do this involves renting your property out to tenants. Over the last decade, the average rent has increased by more than 30%—so if you plan on keeping your property for a long time, you’ll be able to turn an impressive profit while building equity.

Mortgage rates remain low

Approved mortgage application

One of the biggest mistakes that any investor can make is trying to time the market. While it may seem tempting to wait until a recession for prices to decrease, it’s impossible to predict how the market will fluctuate over time. And even as prices continue rising, you’ll want to factor low mortgage rates into the equation.

Lower mortgage rates make real estate investing more affordable. As of November 2021, the average 30-year fixed mortgage rate hovers around 3.4%, which is roughly a full percentage point lower than it was in 2018. Let’s put that into perspective—if you purchase a $400,000 property with a 20% down payment, you’d pay around $1,419 per month. But if you bought the same asset with a 4.4% rate, that monthly payment would skyrocket by more than $200, which adds up over time.

First-timers can start small

First-time real estate investors

Even if you aren’t a current homeowner, real estate investing isn’t out of your reach. Some smart investors actually use their primary residence to generate extra money on the side. Once you establish a cash flow, you can start saving up for an even bigger investment down the line.

Wondering how you can start investing in real estate without a lot of capital? Real estate investment trusts (REITs) let you pool your money together with other investors and earn dividends, so you won’t have to buy or manage your own property. Many millennials have even tried “house hacking,” which involves buying a home and renting out rooms to offset a mortgage. And for an even simpler way to invest, consider land—some plots are available for just a few thousand dollars, and they’ll likely increase in value over time.

Work with Real Estate Investment Experts

Even if you already have a few assets under your belt, now is the time to diversify your investment portfolio! We have ample experience helping investors just like you, and we’d love to help you find an income-generating property that checks all the boxes.

Need to sell an investment property? We can certainly help with that, too!

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