Baby Boomers continue to hold the bulk of real estate in the U.S., with Millennials lagging behind their older counterparts in terms of property ownership.
Those between the ages of 61 and 75 own 41 percent of real estate in the country, according to an analysis of Federal Reserve data by Visual Capitalist. In 1991, the share of ownership for this cohort was just 34 percent.
Back then, the Silent Generation — now those 80 years and older — owned 65 percent of property. This generation’s share has fallen to just 9 percent.
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Meanwhile, Gen X and Millennials, whose members are in their prime working and home-buying years, fall behind the older generations in terms of property ownership. So far this year, Gen X, those between 45 and 60 years old, own 30 percent of real estate in the country.
Millennials, those between 29 and 44 years old, own 21 percent — about two-thirds of the Baby Boomers’ ownership share back in the early 1990s, when they were the same age as Millennials today.
There are myriad reasons for the lag: many Millennials came of age during the real estate crash and resulting Great Recession, which made entering the workforce challenging. Many are also strapped with exorbitant student debt. What’s more, home prices are at the highest they have ever been.
It’s also likely that the Boomer generation’s grip on real estate will continue for some time. Younger Baby Boomers, or those between 60 and 69 years of age, made up 26 percent of all homebuyers and 31 percent of sellers this year, according to a report from the National Association of Realtors. That made them the most active age group, outpacing Gen X buyers by two percentage points and Gen X sellers by nine percentage points.
The main reason younger Boomers are buying now? Almost half said “it was just the right time” to buy a home, according to the NAR report.