Yesterday, I had the pleasure of presenting to a great group of Realtors and Brokers. Besides wanting them to be aware of my services for their Clients, I truly wanted and valued their input on the "Baby Boomer Phenomenon", and what they believe the effect will be on the real estate market. Though the statistics are daunting, they certainly take away our excuse for preparing for the coming years. Whether that preparation involves our homes, our assets, or more importantly, helps us prepare for our health and its maintenance, the numbers are too big to ignore. Consider this:
- Beginning January of this year, the first Baby Boomers started turning 65!
- 7 Million US Boomers will turn 65 this year!
- That's 26% of the Population
- That number is expected to double by 2030 when...
- 1 in 5 Americans will be 65 or Older!
My question for those Realtors and Brokers, was "What will happen to all of those properties"? I expected them to be dreading the expected influx of properties. With so many people having held on to their homes, intending to list them, "When the market gets better", then adding the number of baby boomers who will want to downsize or relocate over the next 20 years, that's a lot of properties to expect to hit the market! I expected a much different reaction than what I got!
The Realtors very calmly informed me they welcome the influx of good properties to the market. Overwhelmingly, they expressed certainty about the expected rebounding of the real estate market in the coming years. Clearly, their feeling was, "the more property on the market, the better our options and offerings to sell". When I specifically asked about the New Hampshire market, they were really enthusiastic! Evidently, our real estate market here is fairing much better than others throughout the Country.
This should be good news to all of us Baby Boomers who consider downsizing, relocating or selling off that second property we've been holding onto waiting for the market to change!
I've talked to a lot of folks who are expecting to place their property on the market in the next few months. They are actively preparing for their next steps. Some of them are moving on to warmer climates. Others have decided to stop spending their cash on maintenance of a second home, choosing instead to reinvest those dollars into the next phase of their future.
Whatever your plan, engage good, ethical people to help you along the way. Calibrate your expectations, and set goals and a timeline. Review all of your assets, and understand what return can be gained on the sale of them. What will that return help you with? Investment, pleasure, or a little of both--Start planning now Baby Boomers!--Believe it or not, Spring is right around the corner, and change is in the air!