While the Millennial generation outnumbered Baby Boomers by 2019, Boomers have been buying up more real estate than younger generations. According to the 2023 Home Buyers and Sellers Generational Trends Report, produced by the National Association of REALTORS©, Boomer home buyers accounted for 39% of all home purchases in 2022.
Behind them were Millennial home buyers, accounting for 28% of home purchases in 2022. This may explain why first-time buyers represented just 26% of purchase transactions last year, a historic low in NAR’s tracking.
Boomers have long held a strong influence on the national economy. This segment of the U.S. population, born between 1946 and 1964, represents the wealthiest generation in the country, with a mean worth between $970,000 and $1.2 million, according to Fortune magazine. (Not all Boomers are well-off; according to 2020 U.S. Census data, nearly 40% of Boomers lack retirement savings, and only 6% have a pension.)
Much of the net worth of prosperous Boomers stems from equity acquired through early home ownership. The Berkely Economic Review cites that 45% of Boomers who purchased homes during their lifetimes were first-time buyers between the ages of 25 and 34. (Homes were cheaper back then!) As of 2023, Boomers held $18 trillion worth of real estate, according to Fortune. These holdings include primary residences, vacation homes, vacant land and rental properties.
Why are Boomers still buying up homes? Reasons include life events and changing household formation. Retirement, divorce, relocation, and the return of adult children to the nest have been factors in new home purchases. Additionally, Boomers continue to favor real estate as their preferred investment, having witnessed several significant stock market corrections during their lives.
On the flipside, Boomers also represent the largest share of home sellers! They just aren’t in a hurry to sell. Boomers spend an average of 16 years in their home before moving on.
If you’re among the younger generations, don’t be too jealous of Boomers. Take a page from their book instead! Home ownership provides control of your housing costs and the opportunity to build equity. We share expert home buying strategies with our free e-book, “How to Buy a Home like a Pro!” You can download it right now, and there is no obligation.
As Exclusive Buyer’s Brokers, we serve your best interests at all times! Unlike real estate agents and brokerages who represent sellers, as an Exclusive Buyer’s Broker, we only represent you, the buyer, getting you the best price and terms with no conflict of interest at all times.
Understanding this distinction could literally save you thousands of dollars not only on the purchase price and terms, but also on seller concessions and home inspection issues, whether you are a first-time homebuyer or an experienced homeowner!
Contact us with your home buying questions! Remember, we are with you every step of the way…all the way home!
Andrew Show
Exclusive Buyer’s Broker, CEBA-M, MCNE, CSP, PSA,e-PRO, CREM, ABRM, AHWD
Buyer’s Resource Realty Services www.BuyersHome.com
Serving Metro Columbus, Ohio with Exclusive Buyer’s Agents
7100 North High Street, Suite 204, Worthington, Ohio 43085
614-888-4110 | 888-888-4110 Toll Free | 614-839-4110 Fax
