Despite some things changing, others remain the same for Asia Pacific millennials. According to a new CBRE report, the consultancy first on the demographic, this generation shares similar long-term lifestyle priorities with other generations and more than 65 percent of them still live at home with their parents.
Some of the key takeaways from the CBRE report include the fact millennials prefer to save money to buy a home and spend prudently. This flies in the face of certain stereotypes such as millennials wanting informal employment, changing jobs regularly and looking to avoid financial responsibility. However, the generation does stress a positive office environment unlike past generations.
“The millennial demographic in Asia Pacific is a game-changer for businesses across the board,” Steve Swerdlow, Chief Executive Officer, CBRE Asia Pacific, explained. “Their live, work and play priorities and habits will shape economics, redefine opinions on workplace design and functionality, and drive new attitudes towards consumption and experience for the foreseeable future.”
The report also claimed almost two-thirds of the region’s millennials are still living with family due to both cultural practices and financial factors. The high cost of residential property across the Asia Pacific region has made it difficult for millennials to accumulate the necessary wealth to buy a home of their own.
Despite the challenges, Asia Pacific millennials do aspire to own their own home, with 65 percent of respondents planning to buy property in the future, according to the survey. In the meantime, 63 percent of respondents told CBRE that they are forced to rent and will continue renting a home until they have found one that meets their living standards in terms of quality, size and location.
“Developers and city administrators should take heed of these trends by constructing more affordable housing for rent and sale,” Henry Chin, Head of Research, CBRE Asia Pacific, pointed out. “In response to the challenges for millennials to accumulate capital for down payments, there needs to be innovation in structuring mortgages for young first-time homebuyers.”
