A panel composed of five members of the generation following millennials, Generation Z, young people ages 14 to 18, discussed their social media habits, shopping preferences and their desire to become homeowners someday, during a session titled 'The Gen Z Consumer' at the recent National Association of REALTORS® 2016 Conference & Expo.
"Generation Z are the teenagers of today that will shape – and are already starting to – the way we live, the way we function and the way we do business," said Sherry Chris, president and CEO of Better Homes and Gardens Real Estate (BHGRE).
According to a BHGRE survey, 97 percent of Generation Z believe they will own a home in the future, and 82 percent indicate homeownership is the most important factor in achieving the American Dream. All five of the panelists expressed a desire to own a home and are certain that homeownership will be part of their future.
When asked about their ideal homes, the panelists varied in wanting to live in either rural or suburban areas and in a home with traditional or modern décor. All the panelists expressed a desire for a large amount of square footage.
"I want a big house," said panelist Cayman, 17. "I want a room for each of my kids, a master bedroom, a few guest rooms, a movie room – I want a lot of space."
On specific ideas about the features they want in their home, most panelists mentioned hardwood floors, granite counter tops and high-end appliances. "I watch a lot of HGTV, so I know exactly what I want," said panelist Brooke, 17.
According to BGHRE, even though they will most likely begin their search online, 81 percent of polled Gen Z-ers believe they will work with a real estate agent during the home purchase. "Real estate websites might not be as accurate as an expert's opinion, and you are spending too much money on a house to not have accurate information," said panelist Thomas, 12.
The desire for human interaction in their purchasing decisions goes beyond homeownership and into their day-to-day shopping. The panelists agreed they are much more likely to listen to endorsements and opinions from friends and family than online reviews. They said they need to be able to trust the source of recommendations.
Gen Z-ers tend to view online reviews as opinions of strangers. When asked if they use crowd-sourced reviews from sites like Yelp, panelist Elizabeth, 11, answered, "I don't know what Yelp is."
The top social media platforms used by the panelists are Instagram, Snapchat, Twitter and Tumblr, and they are frequently interacting with these platforms. "We are called Generation Z, but we should be called generation distraction because we are constantly being pulled to check our phones," said panelist Ethan, 17.
None of the panelists are regular users of Facebook. "Facebook is not for us," said Thomas. "Facebook is more dominated by millennials and people in their 30s."
"It is interesting to learn about Gen-Zers' views on homeownership. Their opinions may change as they get older and join the workforce, but their views shouldn't be discarded when we look to the future of real estate," said Karen Trolan, president of the Silicon Valley Association of REALTORS®. "We know more about millennials today. It's good to start learning about the next generation."
Trolan and members of the local trade association's leadership team were among the more than 19,000 REALTORS® who attended this year's NAR REALTORS® conference in Orlando.
The Silicon Valley Association of REALTORS® (SILVAR) is a professional trade organization representing over 4,000 REALTORS® and Affiliate members engaged in the real estate business on the Peninsula and in the South Bay. SILVAR promotes the highest ethical standards of real estate practice, serves as an advocate for homeownership and homeowners, and represents the interests of property owners in Silicon Valley.
The term "REALTOR®" is a registered collective membership mark which identifies a real estate professional who is a member of the National Association of REALTORS® and who subscribes to its strict Code of Ethics.
Variations of this article have appeared in local area newspapers.
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