What kind of real estate do young buyers want? A recent survey from Sotheby’s highlights some interesting preferences that could inform buyers and sellers alike. Understanding who you’re selling to, or competing with in a bidding war could give you an edge.
The key finding of the study is that detached homes are still the preference for young families. 83% of respondents would want a condo if money was no issue, while only 5% would prefer a condo.
Adequate space is prioritized over design, features or location.
But 45% of respondents have given up on their dreams of owning a detached home due to affordability and cost of living constraints.
Many of the young families that have been able to purchase a detached home have benefited from financial gifts or inheritances from their family. This is a big issue for equality and is likely not a sustainable trend for housing markets.
Nevertheless, young people generally see real estate as a good investment with 78% expecting real estate value to increase as fast or faster than other investments.
Demand for detached homes will continue for all buyers regardless of supply constraints and this should inform the expectations of younger buyers and new buyers especially.
The most interesting finding of all? 95% of respondents claimed they were at very or somewhat satisfied with their living situation.