Young people who are currently studying or starting their first job have grown up with digitalization. They prefer to manage their finances using an app and live frugally for fear of poverty in old age. At the same time, there is a trend towards people investing in investment properties earlier and earlier. This change has a significant impact on real estate sales. Find out how to approach young real estate buyers correctly.
Young people are particularly thrifty
The “Youth in Germany” study found that poverty in old age and inflation are causing headaches for young people between the ages of 14 and 29. According to the payment service provider Klarna, the savings rate among young people is therefore increasing. For example, 25 to 40-year-olds save an average of 15% of their income.
Young people prefer to manage their banking and investment transactions via digital financial tools and platforms that they use on their PC or cell phone.
The following are available as sources of information on capital market topics
- Financial portals,
- YouTube,
- Podcasts and
are very popular. This is the result of the “Generation Share” study. When it comes to investing, 77% of young investors want to achieve long-term wealth accumulation.
Buyers of investment properties are getting younger and younger
The fact that young adults are already thinking about tomorrow today is also evident in the real estate sector. The assumption that buying real estate is difficult for young investors due to high prices and a lack of equity has been refuted by the Europace financing marketplace.
The decision to buy is being made earlier and earlier, especially in the case of investment properties:
- Between 2012 and 2020, the average age of property buyers fell from 44.6 to 40.6 years.
- In 2012, the age groups 18 to 25 and 26 to 35 accounted for 19% of the volume – today it is 37%.
- In contrast, the share of the 36 to 45 and 46 to 55 age groups fell from 56% to 52%.
What do digital-savvy buyers want?
In 2020, McMakler found out that the demands of real estate buyers are fundamentally changing and that they are increasingly asking for digital services. In addition to 360-degree viewings, buyers particularly value AI-supported property valuations.
On-site viewings are still important for owner-occupiers. However, digital viewings and exposés and intelligent calculations can save sales teams and prospective buyers a lot of time, especially when it comes to investment properties.
You can meet young investors’ desire for digital services and data-driven decisions with software such as Investagon. In addition to introducing suitable tools, you should also think about changing your customer approach.
Sales organizations need to change their customer approach
As prospective buyers become younger and more digital, sales teams must adapt to changing expectations and wishes. There will be no way around digital services in the future.
The following measures will bring you a big step closer to the young property owners of tomorrow:
- Be present where your young target group is: on social networks such as Instagram or LinkedIn. There you can not only offer your support and share valuable knowledge, but also better understand young target groups and their needs.
- Offer young people the opportunity to find out about your offer and your properties online, for example with digital exposés. This will make the customer journey as easy as possible for young target groups.
- Use digital calculator tools with information about the real estate market, prices or financing and subsidy options. This will help you gain the trust of young people. You offer transparent information that makes it easier for prospective buyers to decide for or against an investment.
- Digitize your sales processes to work more efficiently and save time for your team and your buyers.
- Offer customized advice and respond to the needs of young prospective buyers. Data-based analyses will help you do this.
One tool for all digitization opportunities
To implement these and other measures, you do not need to launch a comprehensive digitalization strategy and invest large sums of money. All you need is the software from Investagon. This will get you started with digital sales for the new generation of real estate buyers.
The real estate platform offers numerous functions with which you can optimize sales, offer digital exposés, carry out analyses and address customers in a more targeted and precise manner.
Real estate sales for young target groups: Hybrid is best
Digitalization is changing the way young people deal with money. However, sales organizations should not see this change as a threat, but as an opportunity. They can use it to attract a new generation of real estate buyers and build long-term customer relationships.
Investagon’s digital tool helps you to do this: it not only enables more efficient communication with young prospective buyers, but also individual and needs-based advice. Real estate consultants can use it to optimize their customer approach and internal processes and position themselves for the future.
However, digitizing sales does not mean making people superfluous. On the contrary: with a combination of digital information options and personal advice based on your expertise, you will remain in demand in the future.
Get to know Investagon now
With Investagon, you benefit from the advantages of digital sales and at the same time have more time to advise your customers personally. Talk to us and find out what the software can do for you.
Reach new target groups efficiently!
Try Investagon for 14 days free of charge!
