The Millennial & Property in South Africa
Category News
Aah, Millennial....the term many of us have heard so many times.
Whether we like it or not, South Africa has over 14 million millennials, which is about 27 percent of its population. This comes down to almost one third of the entire South African population.
Known as the "distruptors" of societal norms, the millennial generation thinks differently about investments, including property.
1. The fact of the matter is, most millennials would rather rent, than buy...
Described as "rentvestors," (rent investors) millennials would rather rent than buy their own property. This can be attributed to the flexibility they seek in their daily lives, often putting job changes for career advancement and travel at the top of their list. It therefore makes sense why the average millennial would choose to rent rather than tie themselves down to a permanent decision that would affect their career and travel prospects.
Millennials want affordable rentals that provide value for money, just because millennials are renting, does not mean that they want to scale down in quality.
2. Millennials love pet-friendly rentals
If you aren't selling, but letting out your property, "Regrettably, no pets allowed" reads the end of an ad on a property portal. The average millennial has a pet, and to a millennial, their furry friends are family, which is why seeking a pet-friendly rental is important.
To appeal to this generation, make your rental pet-friendly and watch the demand shoot up.
3. Millennials are seeking eco-friendly homes
Millennials are environmentally conscious and interested in reducing their carbon footprints. For this reason, lifestyle eco estates are gaining popularity among young buyers and tenants in South Africa.
Installing alternative energy sources like solar power and having eco-friendly appliances as well as recycling bins in sectional titles is a great way to appeal to the millennial generation.
4. Millennials use technology when looking to rent or buy
Technology is an integral part of a millennial's life. Unlike previous generations who used property magazines and newspapers to look for houses and apartments, millennials just type the area of their choice into a property portal search bar.
This is why it's important to improve your web presence if you are an agent or a landlord, so you can reach this demographic.
5. Millennials prefer communicating via text, such as whatsapp or email
This generation would rather text agents or landlords than speak over the phone. They prefer convenience, and what's more convenient than a quick text that elicits a quick response?
6. Millennials are well informed
Unlike previous generations of buyers, millennials have an abundance of knowledge through the internet. This gives them the ability to do extensive research before stepping onto the property market and committing to a big decision. That's why our advice is always to make your first impression (which is nowadays, online), last!
7. Millennials want a stylish, spacious open-plan kitchen & lounge
Millennials love modernity, so it's important that the space they move into reflects that. Millennials enjoy socialising, and the kitchen is their space to cook and enjoy social time with family and friends. The kitchen becomes part of the lounge and dining space of the modern millennial, and it has to be top-notch quality for them to want to entertain there.
8. Millennials want a home office
Remote working is becoming the norm and with millennials being fond of freedom and flexibility, many of them work from home. This means they need a space where they can do their work, so a home office is likely to be an important part of their dream property list.
Keep the above in mind when setting up your rental property or property for sale to appeal to the millennial generation.
Article credit: Private Property
Article by Alet Smit I Head of Marketing
Author: Louw & Coetzee Properties
