- 27 April, 2018
- PROPERTY MANAGEMENT
- Millennials, Renting, Tenants, Landlords
The social set
An Ernst and Young survey found that 70 per cent of respondents feel Gen Y is great at leveraging social media into opportunities, as well as being the most tech-savvy generation. This could be taken into account when you actually market your home, opting for online channels rather than physical ones. Of course, consulting your LJ Hooker specialist who has a host of digital media strategies available to them is the best place to start.
Know what millennials want
If you are buying an investment property in an area near a university or TAFE campus, or even just in a hip inner-city area, you will more than likely be appealing to Gen Y tenants. But how do you go about this? With changing attitudes towards property in younger people, there is a lot to remember before you set out to attract this tenant market.
For much of the Baby Boomer generation, the dream was a nice suburban home with a backyard for the kids and all the amenities for them nearby. However, times change. Nowadays, millennials tend to prefer homes that are close to the action, with restaurants, workplaces, campuses, shopping and nightlife all nearby.
This means picking a property in close proximity to all of this, which can mean expensive central locations. However, there are some good trade-offs, such as a stronger likelihood of long-term capital growth.
Planning to invest in property
Investing in property continues to be a solid investment option with positive year-on-year growth levels across New Zealand. Investing in property, if done correctly, can deliver strong returns for New Zealand investors.
Here are some tips on how to make a wise property investment.
- Property should be viewed as a long-term growth asset. The focus should be on finding a property that meets key selection criteria such as being close to infrastructure including transport and shops.
- Don’t borrow more than you can comfortably repay. Give yourself a buffer so that if there are future rate rises you will be able to afford the increase in your mortgage repayments.
If you are buying to rent out the property, then buy where rental demand is high.
Lastly, don’t expect tomorrow to be a better time to buy than today. Ask most successful property investors and they will tell you they still wished they had bought ‘yesterday’.
Talk to your LJ Hooker property manager to find out where the millennial hotspots are in your area.