PulteGroup Inc. (NYSE: PHM) on Thursday released a new white paper, “Myth Busting Millennials and Home Buying Attitudes.” It postulates that–zounds–millennials may be more like their parents than many would like to admit.
The paper is the result of a research project that set out to examine older millennials who are more affluent and better educated than the general population. It interviewed 3,000 affluent millennials currently living in areas where PulteGroup had active selling communities in May 2015. To best understand their views and attitudes regarding home ownership, as well as the propensity to buy, PulteGroup’s research was focused on answering four key questions:
- Are the millennials rejecting home ownership?
- When, why and how will they purchase homes?
- What are their thoughts about home ownership versus renting?
- Are millennials abandoning the suburbs?
The answers to those questions were complex but could be characterized as no; sometime soon with a relatively conservative financial plan; ownership is better; and no.
“At 30-plus years of age, the leading-edge of the millennial demographic is prime for home ownership, making them the next major wave of potential home buyers,” said Jay Mason, vp of market intelligence for PulteGroup. “From the type of homes we design, to the location of our communities, to the home and neighborhood features we offer, understanding millennials’ views on housing is critical to successfully serving the more than 75 million individuals who comprise this country’s biggest demographic.
“Contrary to much of what has been written, older millennials’ views on home ownerships and their purchasing intentions are similar to previous generations,” he added. “In fact, in many ways they are acting a lot like their parents, but they are just doing it a bit later in life.”
In conjunction with prior work, PulteGroup is using the research findings as a foundation for developing community concepts and house designs that can meet the needs of millennials as they enter the home-buying market throughout the next decade.
“Consistent with the research findings, the Company outlined a number of opportunities to capture the millennial home buyer, including adding urban styling to its suburban offerings, identifying closer-in land positions, and building in urban infill locations,” said Mason.
The white paper highlights several actively selling and to-be-open communities as examples of how PulteGroup is meeting the housing needs of the millennial home buyer.
Download a complimentary copy of the white paper from PulteGroup here.
