AFTER several years telling the world that they could never afford to purchase homes, millennials are well on their way to becoming the largest percentage of buyers.
Despite the pandemic causing something of a slump in the Malaysian market, this generation is still on the lookout for property they can purchase.
However, whether you’re an estate agent or private seller, you need to consider how you’ll attract the millennials’ attention. That’s why marketing property in a way that’s relevant and resonates with this demographic is essential.
One way that has become popular with those looking to target this segment is virtual house tours.
Millennial culture and technology are intertwined, and there’s a good chance that prospective buyers won’t bother with an in-person viewing if the online listing doesn’t engage them.
A gallery featuring a few photos may be enough for the baby boomers and generation X (Gen X), but it won’t do for millennials, or the emerging generation Z (Gen Z) market.
Surveys conducted by Matterport and by the USA’s National Association of Realtors showed that 83% of millennial respondents said they would switch to an agent that offers immersive virtual tours of properties.
That said, there’s more to marketing homes to millennials other than being tech-savvy. You need to understand some of the generation’s most obvious traits, what they look for in homes, and how to bring it all together.
Characteristics of millennial buyers
Although there is diversity in every generation, Baby Boomers generally have a cookie-cutter approach to life, while millennials tend to embrace and celebrate diversity. However, there are a few characteristics common among most home buyers.
Millennials wait longer to buy. Rather than following in the footsteps of previous generations who would graduate, work for several years, and then marry, buy a home, and start a family before the age of 30, this demographic is waiting longer.
There’s nothing unusual about millennials living with their parents until they’re in their mid-30s before moving out—and then it may be to rent, not buy. In many cases, wages haven’t kept pace with the cost of living and inflation, and there’s limited room for job growth.
This generation is still affected by the Great Recession that happened globally between 2007 and 2009, and the current economic climate has also had an effect. COVID-19 plunged Malaysia into its worst-ever recession, but fortunately, a solid economic recovery is predicted for 2021.
Millennials don’t necessarily purchase to settle down. While previous generations were happy to buy a home and then live in it until they retire, millennials are open to selling and moving if an attractive enough job offer or other opportunity presents itself.
They’re also happy to take on the challenge of a fixer-upper, which they can sell later for a higher price. Technology and the environment are important to this demographic, too.
A house with smart technology can save homeowners time and money, and millennials know this. As tech hungry as they are, they’re also an environmentally conscious generation, so they want homes that are energy efficient too.
When creating a virtual tour, all these factors need to be considered, and incorporated where possible.
An amazing virtual tour
To clarify, a virtual tour of a home is not the same thing as a listing video, a video walkthrough, or a video call during which you walk around your home. Instead, a virtual tour allows your potential millennial home buyers to tour the property interactively at a pace that suits them.
An amazing virtual tour should offer viewers a 3D exploration of the property that they can control, and it should use real footage of the house, such as 360-degree panoramic photos that have been stitched together.
Viewers should have the option to explore all the rooms, to linger in one spot, or to backtrack, and they should be able to do this on a computer or mobile device.
Tips for a virtual tour for millennials
The tour should be self-guided. If you guide potential buyers by only giving them the option of a video walkthrough, or a listing video, they may think you’re only showing them the best parts of the property. If they have control over their movements and the viewing angles, they’ll be tempted to linger longer, which can stimulate greater buyer interest.
Incorporate home staging. If you’re selling an empty house, use virtual home staging to create a sense of scale, and to help potential buyers visualise what they could do with the space. Virtual staging overlays high-quality images of furniture, appliances, artwork, and accessories on high-resolution images of the home.
Use bright lighting throughout the home. Millennials appreciate transparency, and one way of providing that in a virtual tour is by using bright lighting to show the spaces as they are.
Offer a human perspective on the house. Do this by choosing photos that offer views of the property from a perspective that would be seen naturally. The idea is to offer the closest thing to an in-person tour.
Offer stand-alone views. 360-degree shots are great for giving potential buyers a sense of how the rooms and spaces relate to one another, but don’t leave it at that.
The virtual tour should also include views that show some outdoor visibility, as well as views of secluded corners and similar spaces. This allows viewers to focus on particular rooms or features without becoming disoriented.
Highlight unique features in the home. Feature elements in a home add to its character and make memorable impressions on viewers. As a generation characterised by individual expression, millennials appreciate features that add unique touches to a home. Solar power, double glazing and any other sustainable elements should be showcased too, as should any smart home features.
Don’t forget about outdoor areas. Begin the virtual tour with a street view of the property and don’t forget to include the garden and/or other outdoor areas.
Include a floor plan. In addition to 3D photos and 360-degree views, add a floor plan to the virtual tour. This will help viewers get a better sense of the building’s layout and dimensions.
Check for continuity errors. Make sure the photos are loaded correctly, that links work, and that the photos aren’t spoiled by blurs caused by movement. The experience should be as seamless as possible.
Within the next seven years, millennials will make up the largest number of house buyers. Their unique characteristics make them a different audience to the generations that came before, and real estate farming and marketing strategies need to be adjusted accordingly. If you cater to this demographic by creating stunning virtual tours, you’ll tap into a market that’s set to boom. – Nov 26, 2020
Marina is part of the editorial team over at Homestack, where she covers topics from real estate financing to home staging tips. She brings years of experience to delivering content that inspires real estate professionals to close perfect property deals.
The views expressed are solely of the author and do not necessarily reflect those of Focus Malaysia.
