October 17, 2019
Boomers in a Housing Boom of Their Own
A lot of press space—including on this blog—has been dedicated of late to the Millennial generation’s impact on the housing market. We even took a look at how two separate sub-generations within that large cohort are approaching the market differently. But the fact is that the Boomer generation is still a power-player in the real estate space. And this was soundly underscored in the results found by The National Association of Home Builders in its 55+ Housing Market Index for the first quarter of 2019.
The Index was initiated in 2008, when the market was in the throes of the housing crisis that kicked off the so-called Great Recession, and in all the years since it has never seen a higher rate of strength in the 55+ housing market—particularly for single-family homes—than at the start of this year.
The Index looks at two different sub-markets for the 55+ year-old demographic: single-family homes and multifamily condominiums. What the Index measures is builder confidence in this particular market, based upon a survey that requests input on whether current sales and the sales anticipated in the coming six months are presently good, average, or low, and whether prospective buyer traffic is high, average, or low.
In the first quarter of 2019 all three of these Index components went up in the combined totals. Current sales increased by four points to 76. The number of sales expected in the coming six months rose to 77, a seven-point increase. Traffic of prospective buyers rose the most over the previous quarter’s rate: eight points, bringing it to a total of 61.
The Index number for the single-family homes subcomponent rose a full six points over the rate seen for the last quarter of 2018, when it was at 66, to reach a seasonally-adjusted rate of 72. For condominiums, the Index reached its second highest-ever rating (tied with the second quarter of 2018)of 57. The only time it has gone higher was in the first quarter of 2018.
Whether you’re a Millennial or a Boomer, when you buy a house you want to be sure your purchase comes with clear title, in order to avoid problems at closing. Topouzis & Associates, P.C. is your bulwark against problems of the past. We do title searches and ensure you are gaining clear title to your property—and we back our services with offerings of title insurance (click here), in case someone along the line of ownership did something that will weaken your claim to title at some point in the future.