Baby boomers enrage younger Americans with selfish housing act

Daily Mail​

5 hours ago

It's looking like baby boomers are never, ever going to sell their homes, frustrating younger generations on the hunt for bigger homes where they can raise a family.
It was revealed that one-third of baby boomers who own their home say they're not budging, according to a new Redfin survey.
Even more frustrating for younger buyers looking for homes for their growing families, another 30 percent of boomers say they will sell their home at some point — but not within the next decade.
They're also living longer than ever so we'll see about that.
It is the latest generational bust-up after cash-rich boomers came under fire for snatching homes from under the noses of younger buyers — with big money up front offers up their sleeves.
Older people are even less likely to sell, with nearly half of Silent Generation, people born between 1928 and 1945, saying they never planning to sell.
It's younger homeowners are more likely to eventually part ways with their house.
Only 25 percent of Gen Xers and 21 percent of millennial/Gen Zers say they'll never sell. The rest would happily sell at a profit.
There are several financial and lifestyle reasons why older Americans are much more likely than younger Americans to stay put.
Many baby boomers who own their home simply don't have a financial incentive to sell.
Additionally, many older homeowners have lived in their home for a long time and simply prefer to stay put. Roughly two-thirds (67 percent) of baby boomer homeowners have lived in their home for 16-plus years.
When asked why they're staying in their current home, most baby boomers surveyed (55 percent) said they just like their home and have no reason to move, making that the most commonly cited reason.
The next-most common reasons are financial.
For 30 percent of owners their home is almost or completely paid off. Another 16 percent said today's home prices are too high, and 8 percent don't want to give up their low mortgage rate.
Housing costs have risen significantly over the last several years.
Home prices are up roughly 40 percent since pre-pandemic, and mortgage rates are near 7 percent, up from about 4 percent before the pandemic.
Nearly one-third of baby boomers who own their home say they couldn't afford a home like theirs in their neighborhood today.
On the downside, older Americans hanging onto their homes is one reason it's difficult for younger Americans to find and afford houses, especially houses large enough to fit a family.
Nearly nine in 10 of the homes owned by baby boomers are single-family homes.
Just about five percent are condos and 4 percent are townhomes.
A 2024 Redfin analysis found that baby boomers are twice as likely to own large homes as millennials, which infuriated millennials.
Meanwhile, more than 70 percent of millennial and Gen Z homeowners have minor children living in their home, compared to 4 percent of baby boomers.
'While inventory is improving, supply is tight for young house hunters looking for family homes, especially in suburban areas where homes priced like starter homes—yet large enough for families—are scarce,' said Redfin chief economist Daryl Fairweather.
'With baby boomers opting to age in place rather than sell, it's challenging for younger buyers to find affordable options that fit their lifestyle.
Fairweather adds that it's worth noting that even though many older Americans say they're not planning to sell their homes, many are likely to eventually part ways as it becomes harder to live independently and/or keep up with home maintenance.
Meanwhile, one-quarter (25 percent) of millennial and Gen Z renters say they're not purchasing a home in the near future because they can't afford a home in an area where they want to live, making it the most commonly cited reason for not buying a home.
The next-most common reasons are they are financially unprepared for surprise costs of owning a home (23 percent), mortgage rates are too high (20 percent), and inability to save for a down payment (18 percent).
Redfin's report report comes as experts warn where house prices are starting to drop the fastest.
That's good news for young homebuyers. Supply is up; there are roughly 500,000 more home sellers than buyers in today's market.
It's a buyer's market now in many parts of the country, and Redfin economists predict home prices will decline 1 percent year over year by the end of 2025.
This year boomers made up the largest group of home buyers, locking out younger people with all-cash offers and bigger down payments.
With decades of savings from low mortgage rates, boomers have overtaken Millennials, Gen X, and Gen Z in home purchases.
Millennials (ages 29 to 44) now make up just 29 percent of buyers — down from 38 percent a year ago. Gen X buyers remain steady at 24 percent, while Gen Z account for three in every 100 home purchases.
Overall, the combined share of younger boomers (ages 60–69) and older boomers (ages 70–78) rose to 42 percent of all home buyers from April 2024 to April 2025, according to a report by the National Association of Realtors.
'In a plot twist, baby boomers have overtaken millennials – the largest U.S. population – to become the top generation of home buyers,' said Jessica Lautz, NAR deputy chief economist and vice president of research.
'What's striking is that boomers are purchasing homes entirely with cash, bypassing financing altogether.'