Baby boomers are reportedly being blamed for the slim chance of buying a home for their own growing families. Experts have said that this age group's homes need to be downsized. The demand for a single-family homes have been prevalent among young couples with kids who require some additional bedrooms. While the baby boomers remain though, the supply also remained few and steeply priced.
Chief economist Jonathan Smoke theorized that this whole concept of downsizing the boomers could be outdated. He said that this age group has a wide array of circumstances and wants, which makes some of them more likely to purchase second homes, while the others choose to upgrade to their dream homes, HBOR NC reported.
As explained by Wendy Flynn of College Station, TX, the smaller housing alternatives were usually aimed at by the young families and first-time buyers. Due to this, several indecisive plans among the boomer buyers have been noted.
Smoke, however, had said that the supply will become better this year, as there will be a combination of additional existing homeowners who are prodded to sell. Also, the rise in a single-family construction is well on its way. Families will have better opportunities in finding a suitable home compared to last year if the booming factors were taken into consideration.
When boomers finally settle into a downsized home, there would be a drop on the values of the larger homes as a result of an increased supply. While it is yet to happen, there would still be other things which the families can do in order to find a home in a very tight market.
Buyers who will try to find these types of properties will be needing a Realtor with an aggressive method of seeking out pocket listings.
According to Smoke, this year will be an ideal year to sell in several markets since price appreciation has been slowed down, yet mortgage rates will more likely increase. Waiting, then, will not make as much profit, Realtor reported.
