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Townhomes on the Rise

September 18, 2018
Imagine: The American Dream.

What are you picturing: A white picket fence, beautiful large windows with window boxes, corbel detailing, 3-car attached front load garage? Maybe not anymore…Townhomes are on the rise for two specific market segments: younger Baby Boomers and Millennials.

At first glance, it’s odd to think Boomers and Millennials could have anything in common when it comes to home buying, but as a matter of fact, they have many of the same needs. Check out our blogs comparing the similarities and differences of housing preferences in Boomers and Millennials.

AFFORDABILITY

As the younger Millennials begin to enter the home ownership world, they are hit with the reality of high costs and maintenance that go along with it. With a shortage of starter homes in America (we’re working on it!), townhomes are gaining popularity among the first-time buyers. Townhomes tend to be significantly less expensive than detached single family homes while offering all the great updates buyers are expecting.

Westerly Collection at Avion at Denver Connection, new homes in the heart of Denver starting in the high $200,000s.

Trends are showing Boomers are staying in the workforce past the typical retirement age of 65. In a Pew research study, about half of working boomers past retirement age said it’s because they need the paycheck, while the other half is choosing to work for enjoyment. With half needing to work past 65 to survive, they’re looking to cut costs where they can. Making the transition from a single family home to a townhome is a great option while having little sacrifice.

PROXIMITY

Residences of CityLine, located in walking distance to many restaurants, entertainment and transit.

Boomers are enjoying their empty nester life, while many Millennials haven’t “settled down” yet. Because of this, both markets would rather go out and participate in activities outside the home. Having a walkable community to restaurants and entertainment is high-priority. They are drawn to the idea of the high-density urban lifestyle to have quick and easy access to entertainment.

LOW-MAINTENANCE

Villas at Legacy West have low-maintenance yards and are close to amenities.

Because Boomers and Millennials are spending more time outside of their home participating in their communities, there’s less time for homeowner tasks such as fixing that leak from 3 months ago, mowing your overgrown lawn, or updating that 20-year-old kitchen. With Townhomes, many have HOA fees that include a lot of these tasks, leaving the residents with more time spent on things they enjoy! Stress-free once again!

GOING UP

Grove at Shoal Creek, 3-4 story townhomes that have sold out in Phase One.

Townhomes that are 3-4 stories allow for high-density locations to have more living space, while also still feeling like a detached single family home. As land cost increases, going up rather than out is an affordable way to get the most out of your space. Allowing for more outdoor spaces in the form of balconies or rooftop areas is a great way to not only avoid the high land costs, but attract the Millennials and younger, healthy Boomers who don’t mind upstairs bedrooms and are looking for the fluid outdoor entertaining spaces.