Tuesday, March 25, 2014
70% of boomers expect next house to be their last
MADISON, N.J. – March 25, 2014 – According to a survey conducted on behalf of Better Homes and Gardens Real Estate, baby boomers (ages 49-67) are generally optimistic about living an independent, active lifestyle outside planned retirement communities.
The survey found that 57 percent of boomers plan to move out of their current home, and 70 percent believe the house they retire in will be the best home they’ve ever owned.
“With approximately 77 million boomers in the U.S., it’s quite significant for our industry to see that this population has so much positive anticipation for the home in which they will be retiring – and for the majority, their aspirations involve making a move,” says Sherry Chris, president and CEO of Better Homes and Gardens Real Estate.
Among boomers who feel more confident about achieving their ideal retirement lifestyle compared to five years ago, the top factor is having a retirement lifestyle plan (49%).
“This generation is actively planning a comprehensive lifestyle plan, taking into account the type of home and community they want to live in, as well as the option of continuing to work or taking advantage of travel and entertainment opportunities,” says Chris.
Approximately 1 out of 4 boomers surveyed is likely to buy a second home to use during retirement. On the selling side, 31 percent of boomers are more likely to want to sell their home now than they were five years ago, suggesting a renewed confidence in the real estate market.
Additional survey findings unveiling the retirement motivations and aspirations of boomers include:
• Visitors only: Most boomers – 83 percent – don’t expect family to move into their home in the future, indicating they expect any “house guests,” including adult children, to be temporary.
• Making the move: When asked which type of community boomers would most likely consider, 39 percent opted for a rural community, such as a farm or small town. Next in line was the traditional retirement community such as a 55+ exclusive neighborhood (27%), followed by an urban community such as a city (26%).
• Putting down roots: Many boomers have planted roots in their communities and want to remain in a familiar place. Of those surveyed who are not already retired, 72 percent plan to retire in the same state.
• Custom treatment: Among those who plan to move out of their current home, 69 percent are willing to make updates or renovations to fit specific wants and needs. However, when all boomers were asked to pick the most important factor in choosing their next home, low-maintenance features topped the list (42%).
• Retirement to-do list: Historically, retirement was almost automatic at the milestone age of 65. Many boomers, however, have a different plan in mind: 28 percent who are not yet retired, never plan to retire; and 46 percent of boomers who plan to retire still anticipate working part-time.
The Better Homes and Gardens Real Estate Baby boomers Survey was conducted by Wakefield Research among 1,000 U.S. adults ages 49-67, between Feb. 6 and Feb. 18, 2014, using an email invitation and online survey. Quotas were set to ensure accurate representation of the U.S. adult population 49-67.
© 2014 Florida Realtors®