The Millennials, aka. Generation Y, graduated college with $1 trillion in student loan debt. They graduated into an economy where jobs were scarce, lay-offs routine, and competition high. They are aware that spending their entire career with one company is likely an archaic notion. They remain single for longer. The get a job, get married, buy a house, raise a family, and retire from the company template doesn’t apply anymore.
Amongst other names, they have been called Generation Rent. They are a viable demographic for multifamily real estate investors like Jason Cohen Pittsburgh to target when repositioning real estate as apartments.
Why Millennials Are Renting:
They may rent forever. Already saddled with debt and often working lower-paying jobs, Millennials are reluctant to take on more loans, like a mortgage.
Jobs are few and far between and the competition is high. And, many employers haven’t exactly proven themselves to be stable or loyal. Gen-Y’ers may need to move frequently to find employment. They can’t be tied down to a house. So they rent.
They also know that a start-up may quickly be brought down, the corporation may lay off a floor of employees, or their job will just be outsourced overseas to save money. Jobs are volatile and Millennials don’t want to worry about paying a mortgage, and possibly facing foreclosure, during the next bout of unemployment.
They also entered the workforce either just prior to in the middle of the housing collapse. They heard the horror stories of burst bubbles, foreclosures, toxic loans. It just doesn’t seem worth it to many when they can rent for a set cost per month without getting hit with unexpected home improvement expenses that they haven’t budgeted for (with obligations like repaying student loans). They’ve also seen houses sit on the market for prolonged periods of time. They can’t wait indefinitely for a home to sell that if they have to relocate for work.
Take note multifamily real estate investors — this young generation may already be too jaded as a whole to do anything but rent.
What Millenials Want in an Apartment:
Millenials are often willing to sacrifice space for convenience when it comes to apartments. When targeting this market, multifamily real estate investors would be wise to reposition buildings in prime locations into hip apartments. An often itinerant generation, Millennials don’t have the amount of stuff of other generations. They will take a smaller apartment if they city can be their living space.
Their unwillingness to take on more debt often extends to cars, and many Millennials choose public transportation, biking, or walking. Smaller apartments within walking distance or on bus lines are often preferable than expansive units that require a car for accessibility to work and their social lives. Also, a place to store their bicycles is a huge plus.
This is also a generation almost defined by its technology. Millennials are responsible for many tech start-ups and are known for never being without their devices. Wireless Internet is huge for this population. Many Millennials drop cable because everything they want is accessible online.
The major competition to multifamily real estate investors when aiming rental properties to Millennials comes from an unexpected source. Parents. Sometimes, the rent is too damn high, and Millennials have demonstrated a willingness to move back in with their folks.
Since we’re in the middle of something called a polar vortex here, we at Jason Cohen Pittsburgh decided that this was the optimal time to discuss strategies to sell a home in the winter. Not -8˚, 20 MPH winds, lingering snow on the ground winter we have right now, but winter in general.
It’s difficult to sell a house in the winter. There’s less daylight, it’s cold, icy, and generally unpleasant to be driving around, checking out houses.
Keep the heat up.
Yeah, you’re not living there, so it’s tempting to try to save money on the gas bill, but it’s worth it. You don’t want to scare potential buyers away with chilly indoor air. Make them feel like it’s not winter. Make them feel like it’s a great place to live.
Get rid of the snow.
Your property has to be accessible and safe for potential buyers to get to your home. Additionally, after the holidays, snow loses its magic. It’s no longer a winter wonderland – it’s a hassle. So, when you want to sell a home in the winter, keep up with shoveling. Make the house stand out, even if it’s in what appears to be bleak tundra. Lack of snow also boosts curb appeal.
Make it as bright as possible.
Winter is often dark and dreary. Don’t let your house be that way, too. Liberate it from the drab gray of winter. Be sure that all the lighting in your home is cleaned, so the lights can gleam as brightly as possible. Even just replace 40-watt light bulbs with 75-watt versions.
Make it seem warm.
Not necessarily lived in — get rid of your personal family stuff that may alienate potential buyers and make it difficult for them to see themselves living there — but cozy. Simple things like putting a throw on the couch shows that it’s a cozy place during the winter.
Keep the windows clean.
Not only does this enable the natural light to shine through, it also enhances the appeal of the house. Grime could easily be mistaken for old. Dirt shows on a clear surface more visibly than on opaque surfaces. And, you don’t want to give the impression that anything in the house is unkempt.
Emphasize convenience during winter.
Is your home on a snow emergency route? What about a bus line? Any civic amenities during winter will help sell a house during winter.
Use inviting scents to entice buyers. Use warming scents that are appropriate to and associated with the season. When you sell a home in the winter, spray fragrances infused with cinnamon, like apple pie and pumpkin. Obviously, don’t overdo it. Use it sparingly – the point it not to make potential buyers think they are moving into a bakery.
It’s a difficult task to sell a house in the winter. You can’t compete with a polar vortex. But, at Jason Cohen Pittsburgh, we know how to make every effort to make a property shine even in the chilly, bleak, dark, snowy days of winter.