3 Reasons Baby Boomers will Rent vs. Buy in the Future

Check out my 2.5-minute video on why rental housing for baby boomers is a huge opportunity.

My parents are solidly in the baby boomer generation.  In fact, both of my Grandfathers were in World War II and both parents were born after that!

Much has been written about the retiring baby boomer generation so I won't repeat it.

However, they are marked by a number of things I think are important for this conversation.

1. They grew up with a "do it yourself" mentality from their parents.  Keep in mind their parents were in the age of the depression and did everything for themselves. 

2. They have more money than any other generation.

3. They are getting to the age where they can't do everything for themselves anymore.

Knowing these 3 things makes me excited about the future of providing rental housing to the baby boomer generation.

3 Reasons I think they will actually prefer to rent are:

1. Repairs and maintenance - They no longer are able to do the work.  They also no longer want to do the work - they'd prefer to travel and see the grandkids.

2. Preventative maintenance - Not only do they not want to fix what is broken but they also no longer want to the mow the yard or trim the hedges.  They are more willing and eager to pay one price and have all the upkeep done for them.

3. Flexibility - Why burden yourself and kids with homeowner stuff on the weekends, when you get to a time you need to move into an assisted living facility or when you pass?  Boomers will choose to remain flexible by renting and not burden everyone as they age in life.

While I believe it is going to be hard for many to change the way they see homeownership in the Baby Boomer generation, many will see these benefits outweigh whatever minimal "return" ownership may bring.

I believe there is a big opportunity to provide rental housing, for those of us who would like to provide a one-stop shop to this generation.