The Gen Z Homebuyer Wave: Building Referral Networks for a New Generation
Gen Z is entering the housing market with different expectations. Here's how savvy agents are adapting their referral strategies to capture this emerging demographic.
The oldest members of Gen Z are now in their late twenties, and they're buying homes. According to the National Association of Realtors, buyers under 30 accounted for 23% of all home purchases in 2025—up from 19% just two years prior. For agents building sustainable referral businesses, this demographic shift demands a strategic pivot.
Understanding Gen Z's Home Buying Journey
Gen Z approaches real estate differently than their millennial predecessors. They're research-obsessed, having spent months or even years consuming real estate content on TikTok and YouTube before ever reaching out to an agent. They value authenticity over polish and transparency over salesmanship.
"My Gen Z clients often know the market comps before our first conversation," says Phoenix-based agent Derek Montoya. "What they need isn't information—it's validation and guidance through the process."
This creates both challenges and opportunities for referral-focused agents.
The Peer Referral Network Effect
Gen Z trusts their network implicitly. A 2025 study by RealTrends found that 67% of Gen Z buyers chose their agent based on a personal recommendation, compared to 54% of millennials and 48% of Gen X. When they have a good experience, they share it—extensively.
The key difference: their network is largely digital. A referral might come from a college roommate in another state, a coworker they've never met in person, or a friend from an online community. Smart agents are tapping into this by:
**Creating shareable moments.** Gen Z clients will document their home buying journey if you give them reasons to. Closing day photo opportunities, personalized welcome gifts, and memorable touchpoints become organic marketing when shared to Instagram stories.
**Building a digital-first presence.** Your Google reviews and social proof matter more than your broker affiliation. A consistent, authentic social media presence signals trustworthiness to this demographic.
**Staying in the group chat.** Literally. Many agents report that their Gen Z client relationships happen primarily through text message or Instagram DMs rather than email or phone calls.
Cross-Generational Referral Opportunities
Here's what many agents miss: Gen Z buyers are often connected to referral sources you already have. Parents helping with down payments. Millennial siblings who bought five years ago. Older coworkers who've been through the process.
This creates a referral multiplier effect. When you serve a Gen Z buyer well, you're not just gaining access to their peer network—you're reinforcing relationships with the older generations who referred them.
Jennifer Walsh, a team leader in Austin, structures her follow-up around this dynamic. "When I close with a first-time Gen Z buyer, I always circle back to whoever referred them. A simple video thanking them for the referral and sharing how well it went. That reinforces the relationship and reminds them I'm still in the game."
The Technology Expectation
Gen Z expects technology to work. They'll tolerate a buggy app from a startup they believe in, but they won't tolerate a clunky, outdated process from a real estate professional.
Referral tracking platforms have become essential. When a Gen Z client refers a friend, they expect that referral to be acknowledged quickly and tracked professionally. Handwritten notes still matter—but only as a complement to a systematized process, not a replacement for one.
"If I can't show them exactly where their referral is in the pipeline, they wonder what else I'm not tracking," notes Montoya. "It's a trust signal."
The Long Game
The agents investing in Gen Z relationships now are playing a decades-long game. This generation will cycle through multiple homes as their lives evolve. They'll relocate for remote work opportunities. They'll inherit properties. They'll eventually become investors.
Build the referral relationship correctly today, and you're not just earning one transaction—you're establishing yourself as their agent for life.
The data supports this approach. NAR's 2025 study showed that 89% of Gen Z buyers who had a positive first experience said they would definitely use the same agent again or refer them to friends. That's the highest loyalty rate of any generational cohort.
Getting Started
If your current referral network skews older, start by auditing your digital presence through Gen Z eyes. Is your Instagram profile active and authentic? Do your Google reviews reflect recent, positive experiences? Can clients text you directly?
Then identify your bridge referrers—those millennials and Gen X clients whose younger siblings, children, or coworkers are entering the market. A simple conversation starter: "Hey, do you know anyone in their twenties who's starting to think about buying?"
The Gen Z wave is here. The agents who adapt their referral strategies now will ride it for decades.
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