Boomer Home Hold: Impacting Young Families in Today's Housing Market

High Home Ownership Among Boomers

Baby boomers own a significant proportion of large homes, nearly double that of millennial families with children, impacting the availability of these homes for younger generations​​​​.

Locked-in Low Mortgage Rates

Many boomers have mortgages with lower interest rates compared to current market rates, discouraging them from downsizing due to similar monthly payments if they moved​​.

Competitive Housing Market

Boomers downsizing are directly competing with millennials entering the housing market, often outbidding them due to greater financial resources like home equity​​.

Boomers' Wealth in Real Estate

Boomers hold significant wealth in housing, having benefited from favorable economic conditions and lower housing costs during their prime years, unlike millennials who face higher prices and less affordability​​.

Millennials Renting Large Homes

A substantial number of millennials with children are renting rather than owning large homes, reflecting the affordability challenges in the current housing market​​.

Change in Home Ownership Demographics

Over the past decade, the demographic owning large homes has shifted, with boomers now owning a larger share of large homes compared to young families, contrasting with the situation a decade ago​​.

Boomers Occupying Large Homes in Key Metros

In various U.S. metros, baby boomers occupy a significant percentage of large homes, limiting availability in these regions for younger families​​.

Boomer Migration Affecting Housing Affordability

Some boomers are moving to areas close to their millennial children, often to help with grandchildren, thereby impacting housing affordability in these regions​​.

Boomers' Influence on Zoning Laws

Boomers have played a role in shaping zoning laws that restrict the types of homes that can be built, affecting housing density and availability for younger generations​​.

Delayed Home Selling by Boomers

There's an expectation that boomers will eventually sell their homes, but this process is expected to be gradual, leading to a trickle rather than a flood of homes entering the market​​.