June is American Housing Month, an initiative aimed at increasing awareness of housing issues and promoting homeownership across the United States. For community bankers, this initiative presents a fantastic opportunity to engage with customers, particularly Millennials, who are the largest generation in the housing market. By focusing on American Housing Month, you can provide invaluable information to these younger customers, build trust, and ultimately drive business growth.
Why focus on Millennials?
Millennials, now between the ages of 28 and 43, are in their prime years for purchasing homes. However, many face financial challenges, such as substantial student loan and credit card debt, high housing prices and interest rates, along with limited knowledge about the homebuying process. By offering to educate Millennials in these matters, you’re not only helping potential homebuyers to achieve their goals, but also positioning your community bank as a knowledgeable, trustworthy, and supportive partner in their financial journey—a journey that starts with the purchase of a home but can last a lifetime.
According to research conducted by The Motley Fool, “Millennials have burst onto the housing scene over the last decade. Over 50% of millennials are now homeowners. Older millennials were responsible for 16% of home purchases in 2022 while younger millennials were responsible for 12%, suggesting that there's still plenty of room for additional home buying from Millennials as they reach the traditional peak home-buying years of their mid-30s. And older Millennials are spending significant money on homes, close to what Gen Xers are spending, and more than Baby Boomers.”1
Leverage your social platforms
With “plenty of room for additional home buying,” there is still ample opportunity to appeal to this audience at a time when, frankly, they're very much in need of help. Social media can be a powerful tool in this effort and the proof is in the numbers. Millennials are the most active demographic on social media, with 86% using it daily. Here’s how they use social media based on age:
- 18-29 years – Snapchat (41%), TikTok (35%), Instagram (32%)
- 30-39 years – Facebook (34%), X/Twitter (34%), Instagram (32%)2
Posting informational infographics, blogs, videos, and webinars that focus on the homebuying process – such as the various types of mortgages and their benefits, along with guidance on developing a comprehensive financial plan – can aid in demystifying the homebuying process. This proactive approach not only aids in helping your customer buy a first home, but also sets them up for long-term financial success. And that means winning a customer for life.
Leverage ABA Foundation resources
The American Bankers Association (ABA) Foundation has created numerous resources, housed on their website, to help banks market this month-long event. For example, the foundation is hosting a June 18 webinar titled "Unlocking Homeownership: Empowering Communities through Housing Education." This webinar will highlight the free resources available to community banks for educating their customers on homebuying, as well as financial literacy. To that end, the association offers programs such as "Get Smart About Credit." These programs can be integrated into your bank’s marketing and social media calendar during American Housing Month.
Create customers for life
American Housing Month offers community banks a tremendous opportunity to connect with Millennial customers and support their goal of owning a home. By providing financial education, showcasing products, leveraging digital channels, addressing financial concerns, and encouraging long-term financial planning, community banks can position themselves as invaluable partners in not just a customer’s homebuying journey, but their lifelong financial journey, as well. As always, I welcome your thoughts.
Bank Marketing Center
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Want to learn more about what we can do for your community bank and your marketing efforts? You can start by visiting bankmarketingcenter.com. Then, feel free to contact me directly by phone at 678-528-6688 or via email at nreynolds@bankmarketingcenter.com.
1The Motley Fool. Millennial homebuying and homeownership statistics. April 2, 2024.
2Sprout Social. Social media demographics to inform your 2024 strategy. February 14, 2024.