Grand Homes Reviews Trends and Concerns Regarding Millennial Homeownership
The patterns of home ownership are constantly changing, in relation to cultural trends and economic fluctuations within the US; however, Grand Homes reviews these changes—which sometimes carry a negative connotation—as new opportunities for homebuilders. As an award-winning homebuilder in the Dallas-Fort Worth, Texas region, Grand Homes has steadily defied odds and made a remarkable place for itself within the community’s housing market. Specifically, for more than 25 years, this company has provided adult consumers and families with a vast selection of semi-custom homes in 35 distinguished communities in the area.
However, while Grand Homes has reached success in the past quarter of a century, trends reveal that its client base is likely to change; especially as the Millennial generation becomes the next target for homeowners. While these consumers were generally born at the time Grand Homes was being established, the company is ready to take on the new set of challenges that this unique segment of the population poses. For instance, a recent article from The Los Angeles Times suggests that young millennials are not going to be that open to purchasing real estate.
The article explains that there are many factors attributing to speculations that millennials are not going to be that anxious to purchase new homes. In particular, the article suggests that high student loans, changed economic perceptions caused by the recession and unemployment are all creating feelings that millennials are just not interested in buying homes. In fact, the article states that most millennials have not moved out from their parents homes and are strongly against concepts of credit.
Despite these apparent concerns, Grand Homes reviews the millennial market as one that will eventually show an interest in buying homes, but only if the housing industry is willing to transform to the unique culture of these younger consumers. According to Grand Homes, builders and other real estate professionals need to look at the bigger picture to understand that millennials present a unique opportunity—not a dead end.
For example, The Los Angeles Times reports, “The housing industry will have to convince the next generation that home loans are as necessary and prudent as the student debt so many of them already carry. Young Americans have already showed a strong aversion to credit card and other consumer debt after seeing their families’ affluence ‘yanked out from under’ their elders by the housing crisis and the Great Recession, as one expert put it during an Anaheim housing conference this week.”
While this desire to move away from debt and credit is one that concerns home financing parties, Grand Homes explains that this trend should bode well in the long run. In a recent press statement Grand Homes reviews, “It is true that younger consumers are proving less inclined to apply for home loans and credit cards. Initially, this is a disappointment for those trying to sell homes, but it means that a new generation of Americans that are fiscally smart is being born. It will take some time, but these are citizens who are clearly concerned about their finances and are taking wise steps to protect their current assets, such as by living at home. As employment continues to grow throughout America, millennials will start to build wealth and will have the resources to purchase new homes. If you think about it, it makes more sense to wait for homeowners that are financially confident than trying to push property sales onto individuals who cannot afford mortgage payments, and thus, become a liability to the entire economy.”
The Los Angeles Times corroborates this positive growth in economic stability among adults and states, “In an encouraging sign, the median debt of households headed by people younger than 35 fell 29 percent from 2007 to 2010, according to Pew Research. That contrasts with a mere eight percent decline for households of those 35 and older. “
Apart from the apparent concerns over finances, there are other factors listed in the article that may cause concern among homeowners; particularly, the cultural and social trends of millennials. The article suggests that many in the housing industry believe that young adults today are comfortable with living in smaller spaces, yet require high-tech resources—factors that the apartment lifestyle can accommodate. The article also notes that even if millennials do become more inclined to purchase homes, their “do-it-yourself” inclinations may lead them to purchase fixer-uppers rather than new homes.
Although popular thought may lead many in the real estate business to believe that apartments and city living define the demands of millennial consumers, other statistics suggest otherwise. The Los Angeles Times explains, “A 2011 survey for the National Assn. of Realtors showed that—despite headlines about the new urbanism—fewer than 20 percent of adults prefer to live in cities, while twice that percentage still favor single-family homes in the suburbs.”
According to Grand Homes, these concerns can be easily addressed if homebuilders were open to addressing changes in trends and styles regarding home design. “Consumers—both young and old—will always want to buy homes, even if the definition of home changes. As a semi-custom homebuilder we have found that allowing consumers to make their own choices in design is a practice that could prove appealing to millennial consumers. At the moment, these young adults may not prove viable targets for the housing industry, but their wealth may build quickly, and for that reason all homebuilders need to be aware of how to meet this group’s needs,” Grand Homes reviews in its press statement conclusion.
Grand Homes reviews the needs of today’s homeowner and has made sure to reflect these requirements in the impressive work it produces. For more than 25 years, Grand Homes has served as a leading homebuilder in the Dallas-Fort Worth, Texas region and has expanded a great deal since its creation. Offering a wide range of semi-custom home options to prospective homeowners, Grand Homes has grown immensely and currently is recognized for building approximately 400 homes a year in 35 established communities in the area. Staffed with nearly 200 talented and dedicated employees, this homebuilder has gained increased attention as an award-winning contracting company.
I graduated from University of Wisconsin-Madison. I am the contributing editor to USA Herald. I love to write about the truth and topics that really spark my interest.