A Coming Exodus of Older Homeowners?

Just as we’ve had several posts about keeping an eye on the millennial generation, we also need to be watching that other elusive group, baby boomers (those born between 1946 & 1964).   A recent report by Fannie Mae and the University of Southern California says in the coming years boomers will be exiting the homeownership arena as they become renters, move to care facilities or even die.  They note that boomers currently inhabit 46 million owner-occupied homes that are worth an estimated $13.5 trillion.  For their report, they analyzed the attrition rates of past generations of older homeowners and used their findings to project future homeownership exits by this aging cohort.

“With the oldest Boomers now in their early 70s, the beginning of a mass homeownership exodus looms on the horizon, fueling fears of a “generational housing bubble” in which homeownership demand from younger generations is insufficient to fill the void left by multitudes of departing older owners.”

Click here to read the full story at FannieMae.com.