RealestateVIEW recently conducted a study of how baby boomers think about the property market. Only 34.4% of baby boomers think they can afford to stay in their own home. This will result in many larger houses coming onto the market and smaller houses / town houses and units being bought quicker, thereby increasing the prices in the lower range.
The reasons given by baby boomers to move from their family home include:
- Reduce the cost of house upkeep
- Feel they’re not capable of continuing the house upkeep and gardens
- Want to hold onto their savings instead of spending it on their home
- Want to move closer to family, transport or better facilities
- Want a sea or tree change
- Want more time rather than spending it on the house.
In fact 69.7 % of baby boomers own the home they live in and the majority quote that they will be living off superannuation through their retirement and want to increase what they have in super by selling a family or existing home.
If prices of smaller housing and units continue to rise – this will see some retirees putting their funds into children’s houses or properties as long they also get a granny flat or separate residence on the property.
Review the property overview and report