Today, Better Homes and Gardens Real Estate has revealed findings of its latest survey of Baby Boomers, shedding light on the retirement outlook, financial mindset and lifestyle preferences of the nearly 77 million Boomers currently in the U.S. With 2014 being considered the “Year of the Boomer,” as the last of the generation turns 50, the survey offers a timely analysis of the population’s shifting attitudes and expectations.
Overall, the survey reveals an optimistic outlook, with 70 percent of respondents expecting the home they retire in to be their best, and nearly half reporting that their increase in confidence can be attributed to having a retirement lifestyle plan in place.
Some key survey findings about Baby Boomers and their outlook for retirement include:
- Among Baby 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%).
- Approximately one-fourth (22%) of Baby Boomers are likely to buy an additional home to use during their retirement years, such as a vacation or beach house. For a generation that was hit hard during the recession, this commitment to lifestyle planning and desire for their “dream home” is a great show of optimism.
- This generation has cared for children and grandchildren and taken care of aging parents, but most – 83% – do not expect family to move into their home in the future.
- Many Baby Boomers have planted roots in their communities and want to remain in a familiar place. Of those surveyed who are not already retired, 72% plan to retire in the same state they current live.
Better Homes And Gardens Real Estate Finds 70 Percent Of Baby Boomers Expect The House They Retire In To Be Their Best
National Survey Finds Baby Boomers More Confident About Retirement with Lifestyle Plan
MADISON, N.J. (March 25, 2014) – Better Homes and Gardens® Real Estate today released the findings of a national survey of Baby Boomers (ages 49-67) revealing this influential generation’s feelings of optimism about living an independent, active lifestyle; a lifestyle unrestrained by planned retirement communities and instead bolstered by living out their life passions. The survey indicates that 57 percent of Baby Boomers plan to move out of their current home and 70 percent believe the house they retire in will be the best home in which they have ever lived.
“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,” said Sherry Chris, president and CEO of Better Homes and Gardens Real Estate LLC. “Baby Boomers are known for being a hardworking, trailblazing generation. As they have done with every other major life event, they are marching head-on into retirement with big plans and no desire to change pace. Our study shows that Baby Boomers continue to surprise with nuances of what they care about and what they are prioritizing.”
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 mindset shows us that, for Baby Boomers getting ready to retire, there’s more to it than solely saving money in the bank,” said Chris. “To have the utmost confidence in their retirement plan, 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.”
Approximately 1 out of 4 Baby Boomers surveyed are also likely to buy a second home to use during their retirement years, such as a vacation or beach house. For a generation that was hit hard during the recession, this commitment to lifestyle planning and desire for their “dream home” is a great show of optimism. On the selling side, 31 percent of Boomers are more likely to want to sell their home now than they were five years ago, showing a renewed confidence in the real estate market.
Additional survey findings unveiling the retirement motivations and aspirations of Boomers include:
- Visitors Only: This generation, often referred to as the “Sandwich Generation,” has cared for children and grandchildren as well as aging parents, but most – 83 percent – do not expect family to move into their home in the future, indicating they expect any “house guests” to be temporary. So Millennials, don’t get too comfortable at Mom and Dad’s.
- Making the Move: When asked which type of community Baby Boomers would most likely move to, 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 metropolitan city (26%).
- Putting Down Roots: Many Baby Boomers have planted roots in their communities and want to remain in a familiar place. In fact, of those surveyed who are not already retired, 72 percent plan to retire in the same state in which they current live.
- Custom Treatment: Among those who plan to move out of their current home, 69 percent are willing to make updates or renovations to their next home to fit their specific wants and needs. However, when all Baby Boomers were asked to pick the most important factor in choosing their next home, having low-maintenance home features topped the list (42%).
- Retirement To-Do List: Historically, retirement was almost automatic at the milestone age of 65. Many Baby Boomers, however, have a different plan in mind, since 28 percent of those surveyed who are not yet retired, plan never to retire. In fact, 46 percent of Baby Boomers who plan to retire still anticipate working part-time.
About the Survey
The Better Homes and Gardens Real Estate Baby Boomers Survey was conducted by Wakefield Research (www.wakefieldresearch.com) among 1,000 U.S. adults ages 49-67, between February 6 and February 18, 2014, using an email invitation and an online survey. Quotas have been set to ensure reliable and accurate representation of the U.S. adult population 49-67.
Results of any sample are subject to sampling variation. The magnitude of the variation is measurable and is affected by the number of interviews and the level of the percentages expressing the results. For the interviews conducted in this particular study, the chances are 95 in 100 that a survey result does not vary, plus or minus, by more than 3.1 percentage points from the result that would be obtained if interviews had been conducted with all persons in the universe represented by the sample.
About Better Homes and Gardens Real Estate LLC
Better Homes and Gardens Real Estate LLC is a dynamic real estate brand that offers a full range of services to brokers, sales associates and home buyers and sellers. Using innovative technology, sophisticated business systems and the broad appeal of a lifestyle brand, Better Homes and Gardens Real Estate LLC embodies the future of the real estate industry while remaining grounded in the tradition of home. Better Homes and Gardens Real Estate LLC is a subsidiary of Realogy Holdings Corp (NYSE:RLGY), a global leader in real estate franchising and provider of real estate brokerage, relocation and settlement services. The growing Better Homes and Gardens Real Estate network includes more than 8,300 sales associates and approximately 260 offices serving homebuyers and sellers across the U.S and Canada. U.S. states served include: Alabama, Arizona, California, Florida, Georgia, Idaho, Indiana, Kentucky, Kansas, Pennsylvania, Maine, Massachusetts, Minnesota, Missouri, New Hampshire, Nevada, New Jersey, New York, North Carolina, Ohio, Oregon, South Carolina, Texas, Vermont, Virginia and Washington.
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By Paul Pettas