Here’s what Millennials want in a starter home

Aly J. Yale
The Mortgage Reports contributor

The new starter home

As more and more Millennials become homebuyers, the picture of the American starter home is changing — and getting larger. According to new data, Millennials know what they want, and it’s a spacious, move-in ready property that doesn’t need much work.

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A spacious starter home

According to the State of the Starter Home Report from real estate platform Bungalo, the American starter home now looks vastly different than it did in years past — and it’s all due to Millennials.

Overwhelmingly, the report shows that Millennials want to purchase pre-owned, single-family homes. Very few want condos or townhomes, and most want room to grow into in the future.

For Millennials, homeownership is more important than marriage, kids

Most importantly? They want something move-in ready. In fact, a whopping 76 percent of Millennials say they want a property that’s completely move-in ready.

“On some level, every buyer is unique and there are all kinds of factors that can influence someone’s decision to purchase a home — their individual family and financial situation, neighborhood preferences, school districts,” said Greg Stewart, chief operating officer at Bungalo. “But what we know for sure is that a majority of young buyers want a move-in ready home, and they want 100-percent confidence in that home well after move-in.”

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What Millennial “move-in ready” looks like

But what exactly does “move-in ready” mean to a homebuying Millennial? According to Bungalo’s findings, it equals “modern upgrades like new flooring and updated cabinetry. Most importantly, though, they seek peace-of-mind with their home purchase. They want to know their home isn’t going to cost them a fortune in time and money as soon as they move in.”

Feature-wise, Millennial’s must-haves include a new fridge, freshly painted walls, new flooring, and up-to-date cabinets. 

Only a mere 1 percent of Millennials surveyed by Bungalo said they did not prefer a move-in ready home.

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