COVID Hastens Pace of Moving by Millennials & Boomers, Reports Builder Online
Washington, DC, July 6, 2020-Coronavirus has accelerated the pace of moving among some groups, reports Builder Online in article called “America at Home: Millennials, Boomers Plan to Move Sooner Due to COVID.”
“One of the most significant, and perhaps surprising, impacts of COVID-19 is that a large number of Americans plan to move residences. According to the America at Home Study, conducted in April of 3,001 consumers 25 to 74 years old with household incomes of $50,000 plus, millennial renters wanting to own and boomer homeowners motivated to buy a different home are two groups to watch. On the flip side, the 45- to 54-year-old Gen Xers-the traditional ‘move-up’ buyer-is now least likely to be motivated to buy. For years that group has been a core buyer segment for home builders. Understanding these differences, not broad generalizations like assuming all millennials want the same thing, will help builders understand and meet the new home demand emerging out of the pandemic.
“Across all age groups, 4% of homeowner respondents say COVID has accelerated their plans to move. While that may sound low, it represents a potential new housing demand of 2.1 million households when compared with U.S. Census data, and that is over and above any preexisting demand from those who had already planned to move before the pandemic hit. This new demand breaks down by generation as shown here.
“The good news for 55-plus home builders is that 35% of baby boomers 55 and older want to move out of their current home sooner than planned. This demographic also has the highest percentage (50%) with no change in plans, meaning those already planning to move still are. Health, technology, and kitchen/storage ranked highest on the list of things this buyer segment most wants and is willing to pay for in a new home. “This isn’t hypothetical, it’s real new-home demand, backed up by the specific things buyers said they want and are willing to pay for,” says Belinda Sward, founder and chief strategist of Strategic Solutions Alliance, who led the research for the study.
“What Boomers Want (Very Interested and Willing to Pay For)
Germ-resistant countertops and flooring (46%)
Air and water filtration systems (35%)
Greater technology/energy efficiency (45%)
Touch-free faucets, appliances and smart toilets (38%)
More storage for food or water (43%)
Better equipped kitchen for cooking (36%)”
The balance of the article is available here.