The Baby Boomer generation is aging, with the oldest now set to turn 80, and according to a report from the Joint Center for Housing Studies of Harvard University those in that age group are set to double over the next two decades. While this growth could lead to increased housing demand for the short term, mortality and disability rates are also set to grow alongside aging.

Baby Boomer households have shrunk over the last decade

As Baby Boomers age, housing demand has declined. In fact, the number of households headed by Baby Boomers declined by 3.5 million between 2015 and 2025. This loss is despite the fact that the generation’s collective headship rate, or households per person, was about 3 percentage points higher in 2025 than in 2015, reflecting the generation’s likelihood of living alone.

What does this mean for the next decade?

As the population ages, the number of households headed by older adults is expected to decline more rapidly. Household losses among people 55 and older are projected to rise from about 1.3 million per year in 2014 to 2024 to 1.6 million annually in 2025 to 2035, and then to 1.9 million per year in 2035 to 2045. At the same time, younger people are expected to form fewer new households. Together, these trends would slow overall household growth and reduce demand for new housing.