The Coming Real Estate Boom Driven by Baby Boomers
1. Boomers Sit on Enormous Housing Wealth
Baby Boomers now control nearly $19 trillion in U.S. real estate wealth—about 40% of all housing equity in the country This staggering figure reflects decades of homeownership and booming property appreciation.
2. A Glacial—but Massive—Market Shift Ahead
Demographic trends suggest that the number of Boomers will sharply decline—by roughly 15.6 million between 2025 and 2035, and another 23.4 million by 2045. This means millions of homes could eventually enter the market, representing a potential multi‑billion‑dollar inventory wave.
3. Will They Sell? That’s the Big Question
Despite their wealth, many Boomers intend to “age in place”, delaying home sales. Census data shows that homeowners remaining in their homes into their 70s and 80s has been increasing. Moreover, a Charles Schwab survey revealed nearly half of Boomers wish to enjoy their wealth while alive, rather than quickly passing it on
4. Supply Surge Ahead—but Timing Uncertain
Experts estimate that more than 27 million properties could become available over the next couple of decades as Boomers downsize or move into senior communities. Housing markets are likely to feel this supply shock—but whether it’s sudden or gradual remains to be seen.
5. Opportunities (and Risks) for the Housing Market
- Buyers & Investors: A flood of available inventory could yield more options and better pricing— especially for smaller homes or starter properties.
- Real Estate Professionals: High-equity homes will become prime listings when Boomers decide to sell. Agents and investors must be ready to act strategically.
- Broader Economy: Known as the “Great Wealth Transfer,” this chapter of generational transition will influence housing, financial markets, and even societal structures