Last of the Baby Boomers Turn 50

Check out my most recent article published in Traverse Bay Family - Spring 2014 Edition

The Last of the Baby Boomers Turn 50

Can you believe it? The last of the baby boomers turn 50 this year. Why is that a big deal? Because this post WWII generation born 1946-1964, represents the largest demographic group in history. Because they represent about one quarter of the population they have driven our country's economy for decades.

This group of ambitious, hardworking and optimistic people have also dominated the real estate market. 

In the 1970's they built modest starter homes to raise their babies. As they approached middle age they grew in affluence as did the size of their homes. The trend now, as they steadily march toward retirement, is to downsize their digs and enjoy a home or condo that offers less maintenance. 

Hardly a day goes by that I don't hear a client or one of my baby boomer friends tell me they are thinking about selling their empty nest but are concerned they won't find something smaller that will be as nice. Their standards are high and they do not want to 'settle', nor should they. I tell them that downsizing does not mean downscaling, in fact, just the opposite.

Most boomers have considerable equity in their homes or own them outright, giving them more buying options. Higher-end waterfront condos are attractive to this demographic group because they offer something boomers haven't had; a home with a water view and a simplified lifestyle. For an increasing number of boomers the idea of putting away shovels, mowers and blowers is very attractive. However, by no means do they want to be considered old. They are not moving because they 'can't' take care of their home anymore. Rather, they are downsizing as part of a lifestyle choice that involves more golfing, boating, traveling and other recreational activities. After all they are the 'forever young' generation. Smaller, low maintenance homes definitely give boomers more lifestyle options.

Another advantage of opting for a condo is that it makes it easier for snowbirds to travel south for two or three months of winter.

Many boomers are grandparents who want to be able to visit grandchildren more frequently and travel has become a requirement of the job.

Also, having a small low maintenance condo can make it possible to own more than one home.

This group of buyers is also attracted to living downtown which puts them within walking distance to dining, shopping and cultural events.

Smaller in-town homes, with single level living, are also in high demand as retirees downsize. Because they are savvy buyers they are not opposed to buying a fixer upper (at a discount) and investing in customizing the home to accommodate their future needs.

It's becoming more common to incorporate things like grab bars in bathrooms, wider halls and doorways and other modificiations long before they are needed.

In the Grand Traverse area, in an effort to keep up with growing demand, several condo projects are planned for the near future. In the meantime, over the past year or so, we have seen in-town condo values steadily increase. They are expected to continue to do so, making now a great time to buy or sell. With interest rates still in the 4's it is an optimal time for boomers to sell because lower interest rates mean their larger homes become affordable to more potential buyers.

Want to know more? Contact me today to see what your home is worth or to help you find a home that suits your lifestyle. You never know, your home could be worth much more than you think!

Marilyn Taylor Team
marilyn@marilyntaylorteam.com
231-883-2524