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The Silver Wave of Baby Boomers will NOT Happen: Why the Housing Shortage will get WORSE
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The Silver Wave of Baby Boomers will NOT Happen: Why the Housing Shortage will get WORSE
The “silver wave” of retiring baby boomers will not generate more homes for people to buy or create a housing crash. Freddie Mac has estimated that there will be 9M homes come available on the market over the next 13 years as baby boomers die, but there are numerous reasons this won’t happen and it will make the housing shortage worse or make a housing crash. 1) When a baby boomer passes away, they still likely have a living spouse who stays in the house. 2) A boomer downsizing means they are just trading one house for another. So no net houses are added to the market. Hard to believe Freddie Mac missed this one. 3) Most boomers have said their kids will inherit their homes. 4) People who inherit homes from baby boomer parents are more likely to keep them as rentals than ever.
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