June 30, 2016 2:45 am
That’s the resounding sentiment from a sample of 55-plus homeowners in a recent survey by Freddie Mac, who said they’re not only confident about retirement, but also confident homeownership “makes financial sense at almost every stage of adult life.”
Close to 40 percent of the 55-plus homeowners surveyed plan to move at least one more time in their life, while the majority of those (70 percent) plan to purchase their next home. This migration will have significant implications for the housing market overall.
“The decisions the nation's baby boomers and other older homeowners make will have an enormous impact on the demand for housing and new mortgage credit for the foreseeable future,” said Dave Lowman, executive vice president of Single-Family Business for Freddie Mac, in a statement. “Whether they buy new homes or decide to refinance and renovate their current ones, the size of this generation and the fact that they hold close to two-thirds, approximately $8 trillion, of the nation's home equity makes it very important that we watch what they do.”
Would-be homebuyers weary of the recession should consider the outcome for the majority of 55-plus homeowners.
“The overwhelming message of the Freddie Mac 55+ Survey is that homeownership works,” said Lowman. “The American Dream delivered greater financial stability and satisfaction to the homeowners who lived through every recession since the 1970s, including the housing crisis of 2008.”
Source: Freddie Mac
Published with permission from RISMedia.