Millennials are now the largest share of homebuyers in North America, surpassing Generation X and Baby Boomer consumers.
Everyone knew it had to happen eventually; the generational baton-passing tends to happen every twenty-odd years. However, unlike prior generational shifts, this one comes with a new set of rules.
Millennials are infamous for their tech fluency. Once the subject of thousands of grumpy think pieces, millennial attitudes toward technology (and the convenience it bestows) are wildly open-minded.
Having grown up as “digital natives” (the first generation to be raised alongside the internet), the average millennial consumer searches for digital solutions in all their transactions – real estate included.
Thus, we’ve seen a proliferation of real estate platforms in the last half-decade aimed at facilitating a streamlined homebuying process.
Here are a few ways tech-adoptive real estate consumers – millennial or otherwise – can harness the power of digital solutions for an easy transaction.
Article Contents
Finding The Perfect Agent
A relative newcomer on the scene, Nobul has made a significant splash in the last five years.
Several industry stalwarts view the platform as disruptive. But more practitioners now see the real estate digital marketplace for what it is: A consumer-centric antidote in an industry once defined by opacity and complexity.
Basically, Nobul’s big idea was to streamline the agent searching process. On Nobul, a millennial homebuyer can enter their criteria for the perfect real estate agent (minimum verified reviews, proven track record, attractive terms, etc.), and the platform’s AI-powered algorithm turns up local matches.
Pulling data you can’t find elsewhere, the platform also ensures the process is fully transparent. “You’re going to see their transaction history.
You’re going to see reviews from people who have actually used them…” CEO Regan McGee told Yahoo! Finance.
“When people buy and sell real estate, they want to do it the same way they do everything else in their lives, like traveling or getting an Uber.”
Sourcing The Ideal Mortgage
Comparing mortgage offerings used to be a slow, arduous experience. It involved walking from bank to bank, filling long, complicated forms at each.
Or it involved executing the process at one level of remove, contacting various mortgage advisors (who were the gatekeepers of various rate comparisons).
Or in many cases, the process involved placing blind trust in a single advisor to find you the right mortgage without bias.
And let’s be clear: Mortgage advisors still have a beneficial, even essential, role to play in the overall tapestry of the homebuying experience.
But now, millennial buyers can get a head start on shopping for mortgages by using online comparison tools.
QuesTrade’s QuestMortgage offers a simple and accurate comparison tool. Ratehub is another popular platform among millennials.
And Nobul, the previously mentioned digital marketplace, also offers a rundown of the best mortgage rates on the market right now.
With these useful digital tools, you can get pre-approval quicker – with rates and terms to fit your lifestyle – so you can remain competitive as you house hunt.
Ticking Off Boxes In Your Home Search
Perhaps the most well-known type of real estate platform is the listings marketplace. Essentially, these platforms fill the role once exclusively assumed by an MLS (a listing database established and often guarded by cooperating real estate brokers).
The leading consumer complaint with the MLS system was that it was inaccessible to the public; buyers were forced to rely on agents for a peek at relevant listings.
Now, these open marketplaces let you browse properties without restriction. According to several polls, most modern real estate buyers kickstart their buying journey online, comparing specs and prices for various properties.
Prospective buyers can enter criteria for their dream home (neighborhood, walk score, access to transit, schools, etc.), and the platform’s AI algorithms display matching or near-matching properties.
It’s another way for millennial buyers to reclaim control over the homebuying process. Notable examples of listings marketplaces include Zillow, Home.com and (once again) the end-to-end marketplace Nobul.
Leveraging Essential Resources, Calculators And Information
Ok, so let’s say you’ve found your perfect real estate agent online; you’ve secured pre-approval through a mortgage comparison platform; you’ve perused a listings marketplace and found several dream home candidates. What comes next?
If you’re like most millennial first-time buyers, this might be the time for self-education. What can you afford? What will the monthly breakdown of costs look like?
Do the market conditions favor sellers right now, or might it be best to wait a few months?
Thankfully, millennials have several tools at their disposal to answer these consequential questions. Through various financial institutions, end-to-end real estate platforms, government sites, etc., you can find:
- Mortgage Calculators
- Affordability Calculators
- Market Conditions Indicators
- City buying guides
- Income tax information
- And general resources for buying a home
More than any prior generation, the millennial homebuyer has a world of empowering resources at their fingertips. We encourage you to seek these out for a smoother transaction process.
Organizing That Mountain Of Paperwork
Here’s where things get futuristic. Certain platforms (like Nobul, yet again) have started offering blockchain-enabled document management services for buyers and sellers.
It’s no secret that real estate transactions involve a lot of paperwork – various agreements, policy documents, etc.
Now, you can securely and conveniently store these documents in an immutable online ledger like the blockchain.
Depending on how comfortable you are with emerging technologies, it can be a beneficial way to organize your homebuying process.
Thanks to a growing number of millennial buyers, the real estate industry is finally opening itself up to digital solutions.
Above are just a few ways millennials can capitalize on those solutions for a streamlined homebuying process.
