Older Baby Boomers Are a Homebuying Force
Why real estate agents shouldn’t ignore older Boomers in their marketing
Older Baby Boomers are buying homes at a pretty good clip. That’s the finding of the National Association of REALTORS® (NAR) 2020 Home Buyer and Seller Generational Trends report.
NAR discovered that in 2019, older Baby Boomers accounted for 15 percent of all homebuyers. NAR defines older Boomers as between 65 and 73 years old, or those born between 1946 and 1954.
The two main reasons behind this age group’s purchase decisions are to be closer to family and friends and retirement. According to the Insured Retirement Issue, there were 34 million retired Baby Boomers in 2019. And by 2030, the U.S. Census Bureau says all Boomers be of retirement age.
Real estate and mortgage marketing often zeros in on younger homebuyers. Right now, that means Millennials are the focus of direct mail campaigns and social media posts. Before long, Generation Z will enter traditional homebuying age, and real estate agents and brokers will direct efforts at reaching this new group of first-time homebuyers.
But NAR’s recent findings show it might be too soon to write-off what was once the world’s largest generation.
What Older Baby Boomers Are Buying
Older Baby Boomers are buying homes. But what are they buying?
NAR says that 74 percent of older Boomers are buying homes in suburbs or small towns. Fifty-one percent are buying in suburban areas, followed by 23 percent in smaller towns.
And older Boomers are moving more than other homebuying groups. This transition connects to the main reasons they’re buying homes: retirement and to be near family. If your grandkids are in a different state, you might move after you retire to be near them. Or, you may move to a warmer, more tax-friendly state after retirement.
These buyers tend to favor new houses. They want to avoid the hassle of renovation, and they want to customize their homes to fit their…