Posted on 05/03/2024 5:10:58 AM PDT by Libloather
Baby boomers are refusing to downsize in their golden years, according to a Redfin study, which found that the generation born between 1946 and 1964 owns nearly three in 10 (28.2 percent) large homes in the nation—nearly twice as many as millennial households with kids (14 percent).
This is happening despite boomers' kids having long left the nest and their households having shrunk to one or two people. Instead of selling their large properties and moving to a smaller place, boomers are turning the extra bedrooms into hobby rooms and guest rooms for visiting family members.
Read more: What Is a Home Equity Loan?
While it's understandable why boomers are holding on to their mortgage-free large homes, which are likely cheaper than what a new, smaller property might cost them now, their choice to stay put is having a profound impact on the U.S. housing market, contributing to keeping inventory tight. Some 54 percent of boomers own their homes and no longer need to pay a mortgage, according to Redfin.
The historic supply shortage in the country, which is mainly because the U.S. hasn't built enough homes since the 2007-2008 crisis, has kept prices up, even when demand dipped between late summer 2022 and spring 2023, triggering a correction at the national level.
"The number of homes for sale is near historic lows and that is in part due to baby boomers holding on to their homes and aging in place," Daryl Fairweather, Redfin's chief economist, told Newsweek.
"The larger problem is that there isn't enough new construction being built to meet demand from Gen Zers and millennials or from baby boomers who would want to downsize in retirement."
(Excerpt) Read more at newsweek.com ...
Here is another rant by a reporter with a very foreign name,Giulia Carbonaro, who could be an illegal alien, trying to convince American elders to leave their big houses so she can occupy it.
Ain’t going to happen.
Note how this is written. “Refusing” to “give up” their homes.
It’s subtle how they word it. So of course if someone “refuses to give” something up it must be taken from them somehow.
That’s the next step. It’s for the children, of course.
L
Maybe because their kids are still living with them, into adulthood.
You didn’t earn that.
i don’t see a problem here unless a buncha realtors are coveting the properties of others. who cares if someone wants to stay in their house? looks to me like someone is laying the groundwork for some government agency to dictate who can own what house.
they would have to pay taxes on any large gains, where is they simply hold on to it and pass it on when they die the basis gets reset and their heirs can then sell it with no tax bill.
Rents have spiraled with greedy landlords.
It couldn’t **possibly** be becuase homes hold value better than finanical investments, especially in the case of Joetato’s plan to tax unrealized capital gains. . .
Can’t you wait until I’m dead?
Is this a requirement?
These laws are different state by state, I presume?
I don’t know about them but I got too much stuff to downsize!
Anyone need some figurines?
Maybe it’s because it’s no on else’s business where they live
I also noticed that Giulia Carbonaro failed to mention that Biden’s importation of millions of illegal aliens into the USA is a major reason why there is a housing shortage.
Hopefully, FJB and his minions won't eff up my retirement plans.
It’s nobody’s danged business what kind of house I choose to live in.
Nobody is obligated to give up what they worked hard for all their lives to accommodate others.
What’s creating the *inventory shortage* is flooding the country with illegals who are taking up housing that would be available if they weren’t here.
Absurd premise.
Retirees often have moved during their golden years, but it wasn’t always to downsize, but to live somewhere practical and enjoyable for their lifestyle, as they were no longer tied to living near a job, or where there are good schools for their children.
The problem is construction.
There never used to be a shortage of builders willing to meet the demand for population growth and movement and for new generations.
Our economy and culture is so dysfunctional, we aren’t building like we used to.
The commies obviously don’t think your house belongs to you.
These days a “much smaller house” costs a ridiculous amount anyway, so it really isn’t a good financial move to sell. I am alone in a very large house, but I’m content here. For now.
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