Last week we introduced our home buyer’s generation series – an outline of buyer’s characteristics depending on their age. We identified the five generations who are currently participating in the housing market: Gen Z (born 1999 – present), Millennials (born 1980 – 1998), Gen X (born 1965 – 1979), Baby Boomers (born 1946 – 1964), and the Silent Generation (born 1925 – 1945).
As a homeowner, if you are considering selling your current house it is important to understand the various factors driving the decision-making process for each of these generations when they are buying a home. They are in many different stages of life and have a wide variety of opinions on what makes a perfect home. You need to know what they are looking for in order to maximize you homes potential. We have already covered Millennials and Gen X, so now it is time to talk about Baby Boomers.
Who Are Baby Boomers?
Baby Boomers are beginning to reach the age of retirement at a staggering pace. According to social security, approximately 10,000 Baby Boomers become eligible to cash in on their retirement benefits every day. They make up such a large portion of the population that they have two distinct sub groups: 18% of home buyers are considered Younger Baby Boomers between the age of 54 and 63 and an additional 14% of home buyers are the Older Baby Boomers between the age of 64 and 72. This is a major factor influencing their living situations. Younger Boomers tend to have a higher median income and are more likely to be married. They also have a broader range of reasons for buying a home that include job-relocation, proximity to friends and family, and the desire to own as opposed to rent. Older Boomers have a strong desire to purchase a “forever home” where they can age comfortably in place. Older Boomers anticipate staying in the same home for over 20 years on average, far longer than any other generation. The Older Baby Boomers are also willing to move much farther to find the perfect home and are much less willing to make compromises when selecting the home that suits their needs best.
What Characteristics in the Home are They Focused on?
The most common characteristics Baby Boomers are looking for include proximity to friends and family and smaller homes for retirement. They have their eyes set on the future and are calculating how they can get the most out of their retirement. Baby Boomers are statistically well off financially, and many of them are at an advantage in the market since they are looking to downsize.
Baby Boomers are interested in purchasing smaller, more manageable homes, usually one story. They want to avoid the hassle of renovations and unexpected problems with plumbing and electrical so they are willing to pay a premium for well maintained and already upgraded homes. They are likely to have a strict budget on the purchase price of the home since retirement means living on a fixed income.
Outside of the home they desire quiet neighborhoods in close proximity to medical facilities and recreational activities. Country clubs, golf courses, swim clubs, and equestrian centers are just a few of the community activities that this generation looks for when deciding where to retire.
When it comes to technology in the home, this generation favors smart home innovations as opposed to eco-friendly construction. This is because Baby Boomers are following a new trend in retirement called “aging in place.” With the advent of smaller, faster, and more sophisticated electronics, many Baby Boomers feel safe and secure growing old right in the comfort of their own home.
How Does This Impact You, the Homeowner?
To appeal to the Baby Boomer generation and prepare your home to maximize its potential, you will likely need to make some significant improvements to your existing home. Like Generation X, Baby Boomers are not interested in making improvements, expanding, or upgrading a home. They want to purchase a house that is already equipped with all the amenities that suit their needs. This means that to sell to Baby Boomers the home will need all of the smart home upgrades you can provide to address their desire for hassle-free and money saving automation, along with the safety and security they desire for aging in place. If your home has the potential to sell to Baby Boomers ensure that the interior and exterior have low maintenance designs, easy access, and automation wherever possible. The great news about technology upgrades is that they span all the generations when it comes to increasing the value of your home.
Skip the Sale…
If you don’t want to make the investments to upgrade your home or hassle with any of the preparations necessary for selling a home, consider selling to an all cash investor instead. We are Gulf State Homebuyers and we buy homes all-cash from homeowners just like you. We buy in the Baytown/Houston area and we offer competitive prices. Now is a great time to sell, but many people can’t afford to make the necessary upgrades or lose interest because of the time-consuming process of selling. So, skip it today and contact us for your free home evaluation!