Millennials aged 30-39 are reaching their prime years for homebuying, a trend likely to boost housing demand and strengthen the economy in the years to come, says Bill McBride in the CalculatedRisk Newsletter. Though baby boomers have made up the largest cohort of homebuyers over the past decade, Millennials are quickly taking over as the largest share of house hunters reaches the 30 to 39 age group.
Just ten years ago, the Millennial generation flooded the rental market and drove up demand for apartment construction, and now, the most populated age group is causing a sharp increase in new housing development.
There will be plenty of "gray hairs" walking around in 2030, but the key for the economy is the population in the prime working age group is now increasing. As I noted in 2012, this was positive for apartments, and more recently positive for housing.
Note the younger baby boom generation dominated in 2010. In 2021 the millennials have taken over and the boomers are off the list.
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