Gen Z expected to make big splash in housing
Generation Z is still mostly comprised of kids, but analysts in the housing market are already expecting big things about this generation’s future appetite for real estate.
Generation Z, born in 1997 and beyond, is a cohort of about 65 million to 75 million who are expected to start buying homes on a large scale within five to 10 years. The oldest members of Gen Z are in their early 20s. Millennials are currently the largest group of homebuyers. But Gen Z is already showing some characteristics for being real estate savvy, bargain hunters, and tech lovers, likely competing for smaller and more affordable homes, real estate experts told realtor.com.
Gen Z is also showing signs of being more risk-averse and more financially savvy than millennials and Generation X. More than a tenth of them are already saving for retirement. Also, they’re reportedly choosing less pricey colleges so they don’t face a ton of student debt.
Real estate experts predict that this generation will mostly shy away from large, expensive homes and show a preference for lower-priced, smaller homes to accommodate their likely smaller families.