What are first time home buyers looking for?
Working with first-time buyers is rewarding and often very challenging but as a real estate professional, you know how to guide them through every step of the process. First-time homebuyers want it all. Like seasoned buyers, they want to have a home suited to their lifestyle and needs, in the ideal location, and for the best price. But the question is what are new homebuyers looking for when it comes to taking the plunge into today’s real estate market?
The vast majority of first-time homebuyers want a variety of features in their new home. High on the list of wants are garages, finished basements, yard, the ideal size of the home, and an open floor plan. It is your job to help the buyer navigate their maiden voyage and arrive at their “home sweet home” destination in the least amount of time.
The shortlist To answer your question what new homebuyers looking for, we shortlisted the main demands.
Ideal floor plan
Price and affordability
Size – accurate square footage
Who are first-time buyers?
According to NAR, 31% of all buyers in 2020 were first-time buyers. More than 80% of buyers between the ages of 22-30 purchased a home for the first time.
This demographic is followed closely by older millennials between the ages of 31-40, making up 48% of their age group. 22% of buyers between 40-54 years of age were also buying their first residence. So how do you attract first-time homebuyers?
Why buy a home?
The reasons for purchasing a home range from the need for larger or smaller square footage to the desire to accommodate multi-generational family members under the same roof. Moving from a rental or moving out of the family home are also motivating factors. But the biggest reason first-time homebuyers are getting into the real estate market is the desire to own their home. 42% of those buyers want to live in their new home for at least 5 years subject to any unforeseen changes to their employment, family or geographic variations.
What are new homebuyers looking for?
Provide information. You will find that the majority of first-time homebuyers are familiar with scouring Realtor ® websites and MLS listings on the web. User-friendly sites with virtual tours are like eye magnets to the curious buyer. Your online listings fulfill the need for instant gratification when a buyer wants to know how the property fits and flows.
A simple click here and there on the virtual tour provides a satisfying user experience as they engage and interact with a property. The buyer builds a strong connection while examining the details of a home.
Reinforcing the buyer’s memory after an in-person viewing is just one of the benefits of 3D tours and interactive floorplans. It is difficult for anyone to retain every bit of information about a property from a 15-30 minute showing. When there is no time to physically see the property, buying a home based on 3D tours is not a scary proposition for the first-time buyer.
Their comfort level is heightened by the opportunity to examine a home’s features multiple times through virtual tours then write an offer sight unseen.
Buy them time – here today, gone tomorrow
With record home sales still hitting year over year highs, the decision to buy a property has to be made quickly. Buyers have very little time to view, process, and make a decision before signing the purchase contract for one of the biggest acquisitions of their life. Often a new listing is sold within days and sometimes within hours of it hitting the market.
How can you help? You can attract first-time homebuyers and buy them more time by providing floor plans and virtual tours with your listing information. The buyer can check off all their requirements and review the home multiple times online so when they arrive at an in-person showing they’ll be ready to have you write up the purchase contract on the spot.
Regrets, they’ve had a few
Buying a home for the first time can come with a few regrets. One of the main things that trigger buyer’s remorse is the size of the home. Living with a house too small or too big for the desired lifestyle can really throw a curve into the buyer’s journey. You can help minimize the anguish by providing floor plans and accurate measurements so your buyer can easily map out the property before the FOMO (fear of missing out) sets in and they buy the wrong home.
Sure, they may have to compromise on a few things they want like solar panels or updated bathrooms and kitchen, but the size is something that needs to be taken seriously. Size matters and the best way to judge it is with a virtual tour and accurate square footage from a floor plan. As an added value, a floor plan will certainly come in handy when that compromised kitchen renovation becomes affordable.
Conclusion Any time someone does something new or outside of their comfort zone, they look to someone with experience who can offer advice and give insight. The same is true when buying a home.
First-time homebuyers in 2021 are certainly more tech-savvy and computer literate than their home buying predecessors but they still need the tools and guidance you can provide them like virtual tours and 3D tours.
Remembering the entire layout of a potential new home is difficult, but saving time and reinforcing memory is the key to attraction. What are new homebuyers looking for? They want accurate, easy-to-follow information available day or night at the click of their mouse.