The American dream of homeownership may be out of reach for many, with a new survey revealing a surprising vulnerability among baby boomers. According to a Redfin-commissioned survey, nearly half (45%) of baby boomers say they wouldn’t be able to afford their current homes if they were entering the market today.
This highlights the dramatic rise in housing prices, which have doubled over the past decade and surged nearly 50% in the last five years alone. The survey underscores the financial strain this puts on potential buyers, regardless of generation.
“The cost of owning a home is the highest it’s ever been,” the report states. The survey polled roughly 3,000 U.S. residents and directly asked homeowners if they believed they could afford to buy their own home in their current neighborhood at today’s prices. Nearly 40% of all respondents said “probably not” or “definitely not.”
The impact is particularly stark for baby boomers, who may be considering downsizing or relocating during retirement. The survey suggests that even with the potential benefit of built-up equity, a significant portion of this generation wouldn’t be able to secure similar housing options in the current market.
Experts point to several factors contributing to the affordability crisis, including low inventory and high demand. This is putting upward pressure on prices, making it difficult for many to enter the housing market.
The findings come amidst a broader conversation about affordability and generational divides. It challenges the perception that younger generations are simply unwilling to commit to homeownership. The reality is that skyrocketing prices are making the dream of owning a home increasingly out of reach for many, regardless of age.
