Empty Nesters Unlikely to Solve Housing Affordability Challenges
Some believe Baby Boomers listing their homes could be a boon for the housing market, but recent data suggest these listings may not make a difference
Dec. 5, 2024
gamelover / stock.adobe.com
While some want empty nesters to downsize and list their homes, recent data from Zillow show these listings likely won't improve housing affordability.
When it comes to solving the ongoing issue of affordability in the housing market, some experts have indicated that the answer could lie in empty nesters deciding to downsize and list their homes for sale. However, recent data from housing market platform Zillow suggests that home listings from empty-nester households—those aged over 55 with no children living at home—are unlikely to make much of an impact. This is because most empty-nester households are not actually located in housing markets that are experiencing inventory and affordability issues. Additionally, younger generations looking to buy a home are typically living in higher-density housing markets away from empty-nester households.
Among the 50 largest metropolitan areas, Pittsburgh, New Orleans, Detroit, Buffalo, Cleveland were the markets with the largest gap between the potential housing supply from empty nest households and potential demand from younger residents. But these are already relatively more affordable markets with fewer home buying age workers to begin with.
In expensive coastal markets with strong job centers where home buying age workers choose to live — like Austin, Seattle and Denver — there are fewer empty nest households to begin with.Read more
