Condos and town homes to see a resurgence?
Except for a brief period in the early 2000's, single family homes have generally seen greater demand than condos and town homes. As the first of the baby boomers hit retirement age last year, that may be changing.
There are approximately 77 million people - those between 47 and 65 years old - who will dramatically shape the direction of housing for the next 20 years. Many are empty nesters with equity in their homes that are looking for a lifestyle change. A recent article in Rismedia suggests that having raised their families, boomers are tired of physically and financially maintaining large homes and would prefer quieter neighborhoods, one-level living and more amenities. Many are finding their options limited.
For the last decade or two, home builders were focused on fulfilling the demand for ever larger homes in sprawling neighborhoods. With this shift in buyer demand coupled with a stagnant housing market, builders have been slow to adjust. Unlike builders prior targeted market - younger families - the boomers have built equity in their homes and have the capability to trade in their homes for a place that better fits their lifestyle.
What will they be looking for:
* Open floor plans that allow casual entertaining of family and friends
* Backyard living space
* Lower or no exterior maintenance
* Single level living with about 2500 sq. ft.
Demand for these types of homes should be strong for the next 20 years.