Edward Smith, Jr., Smith Commercial Real EstateMillennials a/k/a Generation Y
Born 1981 – 1994, 21 to 34 years old. Children of the Baby Boomers, their parents indulged them and gave them lots of attention, providing a busy schedule of education and activities, which has caused them to be very self –confident and driven by accomplishment. This generation grew up in good times and spent more time in full time education than any other group; they have only known economic prosperity. They grew up on the Internet and have had a smart phone since childhood
By 2016 nearly half the U.S. work force will be Millennial aged. They are optimistic, assertive and positive. Everything is questioned by them, hence Generation Why. In the work force they do not hesitate to question or challenge managers. They are team players and like group activities to develop solutions. Hard working, they do their job well.
But they see work only as a means to an end. They want flexible hours, to be able to work from home, and be able to take time off to travel. They want it all and are not embarrassed to ask for it. However they are considered an employer’s nightmare, as they have no job loyalty and will leave tomorrow for a better opportunity.
Their greatest advantage was being born into a technological society. Constantly they are multi-tasking. Friends are important to them and they have large networks. They are the most racially and ethnically diverse group.
Current Focus: Living and working close to home. Minimize commuting, be able to walk or bike to work, stores, and restaurants; trending back to living in the cities or in “Smart Growth” communities.
“Selling” Millennial’s
You need a good website, because that’s where they will find you. They will not come to you, they will find property they are interested in online and only then contact a Realtor (listing agent). Does your website contain good, ever changing information?
These are hardworking people trying to forge ahead but many are struggling with high student debt and entry grade job positions. This generation is goal orientated – they have a future plan. They need to be taken seriously – made to feel special and important.
The Internet is their source of information and advanced education. They prefer online classes; they can take when they want, as opposed to classroom or live presentations. They are technologically astute – everything is on line, to them e-mail is old – they don’t use voice mail, texting is how they communicate. When meeting them in person consider doing the placemat presentation (as described in part three of this series). Or just talk and give them a very brief summary “bullet points” report.
Multi-tasking is second nature to them. Expect them to be on the phone while you are showing them property, they are evaluating the property and doing something else at the same time.
Generation Z
Born 1995 or later, 20 or under in years. Living in a society where everything is possible. But in a volatile environment of climate changes, terror threats, possible nuclear or biological attacks, all of which undermine their stability. Technology and the internet have influenced them greatly.
Family values and support are important to them giving them a heightened sense of self-confidence. They have an educational focus on developing practical skills and enriching creativity. They have seen Generation X become super educated in college, many with Master’s Degrees, graduate and not be able to find good jobs. They also see the lack of skilled tradespeople, electricians, plumbers, carpenters and consequent increasing costs of those services. Many are considering alternative career paths.
As time goes on we will be better able to define this group. Some of these folks may start becoming real estate customers within the next five to ten years. What technology we will have then and how will we communicate will be very interesting.
Edward Smith, Jr., CREI, ITI, CIC, GREEN, MICP, CNE, is a commercial real estate consultant, instructor and broker at Smith Commercial Real Estate, Sandy Hook, CT.
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