First-time Homebuyers
According to the National Association of Realtors, millennials make up 37% of homebuyers. Many younger millennials, ages 21 to 28, are just buying their first homes. City neighborhoods such as Bellevue, Rosedale and Forest Hill are popular with these first-timers who are looking for convenience and older homes with character. This group insists on a home that is move-in ready, local real estate agents say — all of those hours spent watching HGTV have inflated first-time homebuyers’ expectations.
The local market for entry-level homes is competitive, with reduced inventory in lower price ranges, says Mahood Fonville of Shaheen, Ruth, Martin & Fonville Real Estate. “They need to have their ducks in a row with their financing well before they look at a house. What is nice is that they don’t have a house to sell, so they are very flexible in terms of what a seller might need in terms of a closing date.”
Move-ups
This group of house hunters is typically made up of families in search of more space for their growing kids. They will often limit their search to a specific neighborhood with a focus on schools, and they take their time to find exactly what they are looking for, since they will also have to sell a home in order to make a move. These homeowners tend to concentrate their search on the counties.
Coveted home features for this group include first-floor master bedrooms and garages. While move-in-ready homes are appealing, this group also is more willing to take on a renovation if necessary, and they are better able to see the potential of a home than many first-time buyers. “They are prepared to repaint a house,” says Shane Lott of Rashkind Saunders. “First-time homebuyers will rule out a house because they don’t like a paint color, but these folks are already planning to repaint as they are walking through.”
Empty Nesters
Mixed-use developments such as West Broad Village and GreenGate, 55-and-older communities, the Fan, and downtown Richmond are all popular destinations for empty nesters. Many real estate agents say that they are seeing more and more people from Northern Virginia and places with a high cost of living who are relocating to Richmond to be close to children and grandchildren.
Like first-time buyers, empty nesters avoid homes that need extensive work. They’ve “been there, done that,” are looking to simplify their lives and don’t want to endure the stress and mess of a major house project.
Downsizing is the biggest challenge faced by this group — both what to do with all of the “brown furniture” their children do not want and figuring out the right amount of space for their needs. “It can be tricky,” says Jennie Barrett Shaw of Joyner Fine Properties. “They don’t want something too small, because they want their kids and grandkids to be able to visit.”
