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How Millennials are Shaping the South Florida Real Estate Market

RCG News


June 1, 2020

The best way to figure out where South Florida’s real estate markets are headed is by examining the preferences of the millennial generation.

Whether it comes to going out to eat or buying clothes, they prefer to do it online. A trip to the mall is usually taken for entertainment rather than a shopping spree. It is little wonder why this generation prefers to buy real estate in Florida that is close to amenities.

This is also one of the main reasons why sports complexes are being built in downtown rather than suburban locations. That is how impactful this generation is being on the real estate market in South Florida as well as on global sources for current properties and new developments.

Besides their preferences for a minimalist and convenience lifestyle, millennials are affluent enough to make their mark on the market. In fact, Florida was named one of the top five states for millennial millionaires between the ages of 24 to 37. All of them have a net worth of more than a million dollars and thanks to South Florida’s booming real estate market, they are not short on options.

Out of 618,000 millennial millionaires in the US, 5{6fe69a26c2c06f487892d02889af3b20abb8777b8d8403940cba7c61f59e1d12} are in Florida. This is understandable as young business owners relocate to the state from big cities, such as New York, in search of affordable properties in southern cities.

The South Florida real estate market is particularly popular with this generation because they don’t have to pay state taxes. This means they get more money in their pocket after investing, a benefit that appeals to their entrepreneurial mindset since it can be used on the down payment.

However, not just any real estate will do. Due to their minimalistic preferences and lifestyles, millennials are far from interested in the flamboyant and outdated interior design Baby Boomers preferred. Most prefer open floor plans and clean lines to ornate detailing. Both preferences clash so millennials usually either downsize the property they purchase or look for ones that do not need it.

Taste is not the only thing that has changed. With advances in technology and climate change becoming a very real threat, property owners are always in search of real estate that can help them save money and which can prove to be long lasting investments as well.

For example, we don’t need elaborate kitchens anymore as more people prefer to order out than cook. We don’t need large filing cabinets today as technology becomes more advanced. All of that information can be saved online in the cloud and is readily accessible. We have eBooks now so the need for large bookshelves or home libraries has disappeared as well.

This preference for sparse living is driving the real estate market in the state today with millennials leading the charge. This includes looking for property management in South Florida that can meet their unique needs, such as the Rich Commercial Group. Get in touch with us for a consultation today!