Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
Seems like just about everyone I personally know who's around my age (65) and older is getting their homestead ready to sell in order to either downsize or relocate. (A few of these friends are coming to a rather sudden decision after thinking they'd stay.) Also many here on CD-Retirement.
A few years ago I speculated on what a major wave of boomer sales would do to the RE market locally and nationally. Are we selling at the top of another bubble? Will there be takers for many of our large homes, many of them built a while back and not so energy efficient (esp in the North)? Will younger singles and couples even want our kinds of homes and can they afford the esp with the ever-increasing RE taxes? Will the market flood and cause a bubble burst? And finally, what about the overall impact of such an enormous wave of boomers (and our parents) selling, in general?
Selling and buying homes is a good thing, not a potential problem.
Seniors may sell a larger house and buy a smaller one ... but, at the same time, someone else will sell a smaller house and buy a larger one. -- Nobody is walking away from or defaulting on these homes, like they did in the 2008 bubble when millions of folks were locked-in to mortgages they could no longer afford.
young families are buying into my neighborhood from retiree type folks.
I am noticing this, too!
Older, established neighborhoods with good school systems will never create a glut in the market where I live. Folks have had to turn to new homes in what some describe as "cookie cutter" neighborhoods in the adjoining county, as property has essentially been built out (no more property to build on) within the city limits of my particular part of the city.
It may depend on any given location (but then, doesn't real estate always depend on location?) but my thought is (based on what I have researched and what I have observed) . . . a nice well kept home in a good school district and in a low crime area will always be attractive in an area with a decent unemployment rate.
Seems like just about everyone I personally know who's around my age (65) and older is getting their homestead ready to sell in order to either downsize or relocate. (A few of these friends are coming to a rather sudden decision after thinking they'd stay.) Also many here on CD-Retirement.
A few years ago I speculated on what a major wave of boomer sales would do to the RE market locally and nationally. Are we selling at the top of another bubble? Will there be takers for many of our large homes, many of them built a while back and not so energy efficient (esp in the North)? Will younger singles and couples even want our kinds of homes and can they afford the esp with the ever-increasing RE taxes? Will the market flood and cause a bubble burst? And finally, what about the overall impact of such an enormous wave of boomers (and our parents) selling, in general?
Curious to hear your thoughts.
There will be happy and not happy sellers. We sold in the Spring of 2007 in a classic supply/ demand example. In our zip code there were eight houses for sale and only five buyers willing to buy in that price range. Five sold and three didn't. The other three didn't sell until they fell into a lower price range that had more buyers willing to buy at those prices. The last of the original eight sold for over 150k less than their original asking price. All things being equal in quality and price the first sellers will come the closes to getting their price and it will work down from their. The economic principles at work are the elasticity of supply and demand. What you and others may be describing I spent up sales coming to the market because prices have reached a certain point. Doesn't mean their will be pent up demand to match the increase in available homes.
Older, established neighborhoods with good school systems will never create a glut in the market where I live. Folks have had to turn to new homes in what some describe as "cookie cutter" neighborhoods in the adjoining county, as property has essentially been built out (no more property to build on) within the city limits of my particular part of the city.
It may depend on any given location (but then, doesn't real estate always depend on location?) but my thought is (based on what I have researched and what I have observed) . . . a nice well kept home in a good school district and in a low crime area will always be attractive in an area with a decent unemployment rate.
As long as their is equal supply and demand at that price point.
Location: East of Seattle since 1992, 615' Elevation, Zone 8b - originally from SF Bay Area
44,551 posts, read 81,085,957 times
Reputation: 57750
The key is to be in a safe area with good schools. Here there have been several homes turned over in the last 2-3 homes, with families having 2-3 kids moving up to a larger house and better schools. They are selling in a few days with multiple offers over asking. Currently, there are still probably 6 couples over 60
that I know, holding off until they retire at 68-70 despite the kids having moved out. Most of the homes are at about $400k in equity (and climbing) unless they refinanced along the way.
young families are buying into my neighborhood from retiree type folks.
Same here.
If you are in a high demand area with good schools/low crime there will probably never be too many homes on the market. My neighborhood has turned from being mostly older retired people to mostly younger people - with or without kids. Prime location - close to downtown, airport, city lakes~~~~~~~
Selling and buying homes is a good thing, not a potential problem.
Seniors may sell a larger house and buy a smaller one ... but, at the same time, someone else will sell a smaller house and buy a larger one. -- Nobody is walking away from or defaulting on these homes, like they did in the 2008 bubble when millions of folks were locked-in to mortgages they could no longer afford.
Interesting point - we really do go full circle. Start small - go to larger, larger - and end up with a small home/condo.
. . . a nice well kept home in a good school district and in a low crime area will always be attractive in an area with a decent unemployment rate.
We're counting on that as we prepare ourselves for a final move. I hope you're right. We live in a well-known college town, so maybe a professor or rich students will be interested in our home, walkable to the campus. If the property weren't too much for us to handle in a few years, we'd possibly stay.
Please register to post and access all features of our very popular forum. It is free and quick. Over $68,000 in prizes has already been given out to active posters on our forum. Additional giveaways are planned.
Detailed information about all U.S. cities, counties, and zip codes on our site: City-data.com.
Please register to participate in our discussions with 2 million other members - it's free and quick! Some forums can only be seen by registered members. After you create your account, you'll be able to customize options and access all our 15,000 new posts/day with fewer ads.
We live in a well-known college town, so maybe a professor or rich students will be interested in our home, walkable to the campus. If the property weren't too much for us to handle in a few years, we'd possibly stay.
