As the first wave of Generation Z—those born between 1995 and 2010—comes of age and enters adulthood, the housing market is taking a closer look at this unique group of potential homebuyers.
Like its elders, Generation Z also considers a home a key component of the American Dream. According to Zillow’s 2017 Consumer Housing Trends report, 57 percent of Generation Z say they considered buying a home when they looked for their last rental.
In light of this, MReport talks with Tri Nguyen, Founder and CEO of Network Capital Funding, a direct mortgage lender, about how the industry needs to start paying attention to this upcoming buyer population.
M // Despite this generation having technology at their fingertips since Day 1, what can you discuss regarding Gen Z and the future of people-based marketing?
Nguyen // With all the choices today, more and more consumers rely on online reputation, social media and personal referrals. We’re making the home-buying process less intimidating and more transparent. Not everyone is in a position to purchase their dream home today so we review their situation and educate them on how to achieve their desired goals.
M // How much do you believe Gen Z will impact the future of homeownership? What is the biggest factor our readership should be aware of with Gen Z entering the housing market?
Nguyen // The housing market plays a large role in the U.S. economy. Due to the size of this generation, their home-buying habits are going to shape the future of not only the housing market, but the U.S. economy as a whole. When a large population of inexperienced home-buyers enter the market, have some patience, expect some volatility, and try to educate them as much as possible. We’re all in this together.
M // How are you and Network Capital preparing for Gen Z to enter the housing market? What steps are you taking in preparation?
Nguyen // We’re constantly refining our process to make it easy, convenient, informative and more affordable. Our QC process of our workflow ensures that we’re always improving while driving costs down for our consumers.
M // What do you believe has this young generation turning to homeownership?
Nguyen // They’re becoming more educated on the process and the stable job market has helped build consumer confidence. I think just being a homeowner is appealing.