Baby boomers are more attached to their homes than younger generations, with 33.5% saying they’ll never sell, a new survey reveals.
Another 30% of boomers say they’ll sell, but only after more than a decade from now, according to the survey commissioned by real estate brokerage firm Redfin.
Younger homeowners express greater willingness to part ways with their home: Only 25% of Gen Xers and 21% of millennial/Gen Zers say they’ll never sell.
But those older than boomers — members of the Silent Generation — are the least likely to sell, with nearly half (44.6%) saying they’ll never give up their home.
Redfin cited several financial and lifestyle reasons causing more older Americans to stay put.
Many baby boomers don’t have a financial incentive to sell their home, the firm said in a news release.
Also, many older homeowners have lived in their home for many years and prefer to remain there; 67% of baby boomer homeowners have lived in their home for at least 16 years.
Asked why they plan to stay in their current home:
55% of baby boomers said they just like their home and have no reason to move
30% said their home is almost or fully paid off
16% said home prices are too high
8% want to hold onto their low mortgage rate
Housing costs have increased roughly 40% since before the pandemic, and mortgage rates hover near 7%, compared with about 4% before the pandemic. Among baby boomers who own their home, 41% say they couldn’t afford a home like theirs in their neighborhood today.
Redfin said the propensity for older Americans to hang onto their homes makes it more difficult for younger Americans to find and afford houses, especially those big enough to raise a family in. Among baby boomers, 88% own single-family homes; compared with 5% who have condos and 4% who are in townhomes.
Baby boomers are twice as likely to own large homes as millennials, a 2024 Redfin analysis revealed. And over 70% of millennial and Gen Z homeowners have children under the age of 18 living in their home. Only 4% of baby boomers house minor children.
“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,” Redfin Chief Economist Daryl Fairweather said in the release. “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. But 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.”
Younger Generations Priced Out
Millennial and Gen Z renters gave several reasons why they won’t buy a home in the near future:
25% can’t afford one where they want to live
23% are financially unprepared for surprise costs of owning a home
20% say mortgage rates are too high
18% are unable to save for a down payment
However, Redfin said there is good news for young homebuyers: Supply is up, with about 500,000 more home sellers than buyers. The firm said that many parts of the country are seeing a buyer’s market, and Redfin economists predict home prices will slide 1% by the end of the year.
The Redfin-commissioned survey was conducted by Ipsos in May and queried about 4,000 U.S. residents.
