It is important for investors working on rehab projects to think ahead about who will potentially buy the house, and to identify what those potential home buyers are looking for. Knowing this can help shape design and renovation decisions, making the finished product more marketable.
According to real estate experts who spoke at a National Association of Home Builders (NAHB) webinar, potential home buyers who are most likely to think it’s a good time to purchase are young families and adults ages 31-45. Referred to as Generation X, this group is likely to lead the home-buying recovery as it gets on course.
Whether they are first time home-buyers or younger families looking for more room to grow, this age group is more likely to buy than Baby Boomers, who continue to wait for the market to improve.
Home buyers in Generation X have strong opinions about the design and features included in their new homes. A major trend for this age group is outdoor living space, or a connection between indoor and outdoor spaces. They are also attracted to an open floor plan, more storage, and flexibility in the garage, and would rather have a great room over formal spaces.
Investors should keep these things in mind while working on their rehab projects. Incorporating some or all of these aspects will serve in their favor when trying to re-sell down the road.