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Additional Investment Info
The Baby Boomer Market

Boom in the Prices for Homes

Florida is #1 for Relocation
Florida has "The Triple Crown"

Baby Boomers Represent a Huge Real Estate Market

Baby boomers make up an incredibly large percentage of our population that is moving towards the retirement age over the next 15 years. About one half of these people do not intend on staying in their current location when they retire. Many of these people want to live in warmer climates and places with good "lifestyles" with 42% of them choosing the South Atlantic area for their retirement.

Also read:
Baby Boomers Statistics on Empty Nests and Retirement
By Del Webb Corp 7/22/2004

Since 1996, Del Webb has conducted an annual survey of the Baby Boom Generation, comprised of Americans born between the years 1946 and 1960. Baby Boomers throughout the United States this year were polled on their feelings about becoming Empty Nesters and its impact on their retirement plans. The Baby Boomer Survey, conducted in April and May 2004, reveals Boomers are embracing the idea of Empty Nesting, the stage in life when children move out of their parent's home for good. While Boomers have an array of emotions about the situation, most look forward to getting back to what they were always accused of being - the "me generation." Below is a summary of the main points the survey uncovered:

Fast Facts: Baby Boomers by the Numbers:
  • The United States experienced an explosion of births after American soldiers returned home from World War II. Sociologists define those born between 1946 and 1964, or those who are currently 40-58 years of age, as "Baby Boomers."
  • During the Baby Boomer years, approximately 76 million American were born. Today, this represents 28 percent of the American population.
  • In 1957, 4.3 million babies were born in the U.S. This is more than any year before or since.
  • A second boom has not occurred as Boomers reached childbearing years. Boomers waited longer to have children and many have not had children. Many experts say the Baby Boom phenomenon is a one-time event.
  • After the Boomers came the era of the Generation X'ers. There are about 41 million Generation X'ers in the United States. Generation X'ers were born between 1968 and 1979.

Results from the 2004 Del Webb Baby Boomer Survey Fast Facts about Housing:
  • 36 percent of Boomers will move or plan to move when they become Empty Nesters. When they retire, 55 percent say they will move.
  • Of the Boomers who moved or will consider moving once becoming Empty Nesters, roughly one-third (36 percent) will move more than three hours away. Upon retirement that number climbs to 51 percent.
  • 26 percent of Baby Boomers will consider purchasing a home in an age-qualified Active Adult Community. Roughly one-half (51 percent) are not sure whether or not they would make this purchase and 24 percent would not consider buying in an active adult community.
  • Of Baby Boomers who are considering purchasing a home in an age-qualified active adult community, 30 percent prefer a community in an urban location. Additionally, 29 percent want a community that maximizes local natural benefits; 22 percent like an active adult community located within a multi-generational development; 6 percent want a small to mid-sized community with golf; 5 percent choose a country-club setting and 3 percent prefer a large community with golf.
  • Boomers are more than twice as likely as those aged 59-70 to prefer an Active Adult Community that is part of a multi-generational neighborhood.
  • Boomers who moved or will consider moving from their old Empty Nest cite wanting a smaller house (44 percent) and one that requires less maintenance (44 percent) as their top reasons for moving. Upon retirement, they say maintenance will be the paramount issue in choosing a home (62 percent), but they also will want a smaller home (23 percent).

Fast Facts about Retirement:
  • Boomers generally view retirement in a more positive light than becoming an Empty Nester.
  • 75 percent say they will be even happier upon retirement.
  • 74 percent will feel freer to be themselves upon retirement. This is higher than the 57 percent who will feel freer to be themselves once they become an Empty Nester.
  • Only about one-third (36 percent) of Baby Boomers think they will have enough money to live comfortably once they retirement. Nearly half (47 percent) of older Americans (those aged 59-70) believe they will have enough money to live comfortably in retirement.
  • 40 percent of Boomers are not sure if they will have enough money to live comfortably.
  • One-fourth of Boomers do not think they will have enough money to retire. Male Boomers (50 percent) are significantly more likely than females (34 percent) to think they will have enough money to live comfortably in retirement.

Facts on Empty Nester Emotions:
  • 71 percent say parenting was a wonderful experience, but it wasn't easy. 19 percent say it was more challenging than they expected.
  • 26 percent say they will feel like newlyweds when their kids are gone and even more (34 percent) say they will feel closer to their spouse without the children around.
  • Fifty-eight percent say they are or were emotionally ready to get the kids out of the house. Males (70 percent) are significantly more likely to be emotionally prepared than females (55 percent.)
  • The older the Boomers become the more ready they are to clear the Nest. In fact 71 percent of the Boomers between 53-58 years old are emotionally ready to be Empty Nesters.
  • Boomers have mixed feelings about becoming Empty Nesters. While a large percentage is neutral about the emotional impact, Boomers do feel an increase in freedom to be themselves with Empty Nesting.
  • Most (at least 75 percent) don't or will not miss the parenting roles, like coaching sport teams or helping with school work. But 64 percent do or will miss the family vacations.
  • Getting out of debt is their Number 1 priority when becoming Empty Nesters.
  • 40 percent of Boomers believe their children will be better off financially than they are.
  • Only 2 percent say they wished they would not have had children.
  • 46 percent would advise future parents to spend less time at work and more time with their children.
  • 74 percent say they have been good role models.
  • 27 percent would not let their grown children move back in with them assuming that their children were in good health and financially secure.
  • 40 percent of Boomers anticipate that their adult children will move back in with them. 30 percent anticipate that their parents will move in with them.
  • 28 percent would charge their kids rent, but far less (8 percent) are likely to bill their parents.

Also read:

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