Generational Tug of War in the Housing Market
The housing market is currently caught in a generational tug of war, influenced by two significant demographic shifts. Baby Boomers, now averaging 65 years of age, are facing the challenges of aging in place and are seeking smaller, more accessible homes, often preferring single-story residences. On the other hand, Millennials, with an average age of 35, are entering the housing market and purchasing homes previously owned by Boomers, which frequently require substantial updates.
For Millennials, managing the costs and timing of home improvements is complicated, especially when balancing work and family responsibilities. As a result, many predict that the home improvement industry will become overwhelmed, further straining the budgets of Millennial buyers. This dynamic is expected to significantly impact the housing market, as the demand for both smaller, accessible homes and homes that don’t require expensive home renovations rises.
