Who is buying?
nearly 78 million boomers in the U.S coasting
towards retirement age- this group is making a
mark on real estate sales figures- Boomers are
buying high-end condominiums, attracted not only
by the interest rates but also by the fact that
they have longer life expectancies, a more active
lifestyle than past generations and they have
accumulated significant wealth.
demand for urban-style luxury living is the predominant
driving force in the condo market. Baby boomers
and empty nesters- the 50-60 something age group
who like the urban lifestyle, are clamoring for
purchase opportunities in downtown locations where
they can enjoy upscale restaurants, theater and
shopping just outside their front doors. Nationwide,
this group is looking for maintenance-free living,
moving out of their large suburban homes and making
a lifestyle change.
condominiums in downtown locations, in water and
golf communities or in adult communities are all
trends fueled by baby boomers. Forecasters are
predicting this downsizing trend will continue
to increase from 2005 to 2009- as baby boomers
reach their peak buying age, and from 2016 to
2024 as the number of people over age 60 increases
considerably. Between these periods, from roughly
2010 to 2015, a small number of people will reach
peak buying age, and demand will be lower.
influence in this condo market is the “yuppie”
– Condos are not just for the aging portion of
the population anymore. Young and upwardly mobile
people see condos as a great way to start their
lives in real estate ownership because it often
requires less financial resources and a less demanding
time commitment. Such entrepreneurial people can
devote more of their time and energy to their
careers and building a nest egg for the future,
rather than the day to day details that can come
with owning a home.