The aging baby boomer population will not create a sudden glut of suburban homes for young families because housing transitions occur gradually over time, not all at once; simultaneously, younger buyers continue competing for homes and immigration adds ongoing demand, making waiting for demographic shifts an ineffective solution to housing affordability. The real solutions require building more homes and rethinking mortgage policies, such as implementing longer amortizations.
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No, aging baby boomers will not trigger a glut of suburban homes for young families. š”Hinzugefügt:
Now, aging baby boomers will not trigger a glut of suburban homes for young families. This content is from The Globe and Mail and from a recent podcast I stumbled on. So, that's the myth that keep people keep repeating.
The idea that a wave of boomers will suddenly dump homes onto the market and fix affordability overnight.
But, that's not how housing works.
Boomers won't be selling all at once and many of those homes will change hands slowly over time. But, what they won't do is hit the market all in one crash.
At the same time, younger buyers still are competing for the same homes and immigration continues to add demand. So, waiting for the silver tsunami, well, to solve the crisis and affordability, that's wishful thinking. The real answer is still the same. We still need to build more homes and we really need to relook at mortgage policy in my opinion.
Much longer amortizations, well, could that be a game-changer? What are your thoughts?
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