How many homes do baby boomers own in Las Vegas? – Las Vegas Review-Journal

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Baby boomers in the Las Vegas Valley still control the housing market and are actually increasing their homeownership rate, according to new data.

The generation born between the end of World War II and the mid-1960s made up the biggest block of homebuyers in the valley in 2023 for homebuilding giant Taylor Morrison, at 39 percent, followed by Generation X (26 percent), millennials (24 percent) and Gen Z (4 percent).

Baby boomers own more than a third (36 percent) of all the homes in the valley, but only make up 19 percent of the population, according to a new study from Construction Coverage, which used U.S. Census data in its analysis.

And the share of homeowners over the age of 55 has been rising in recent years, the study said.

“In 2008, at the onset of the Great Recession, Americans over the age of 55 owned 44 percent of homes,” the study said. “By 2021, that percentage had increased to 54 percent.”

The study further outlined that the great wealth transfer expected from boomers to their children, largely millennials, has not come to fruition regarding housing.

“First-time homebuyers, especially millennials and Gen Xers, are facing an uphill battle when it comes to house hunting,” said the study. “This is in part because of a growing trend in which baby boomers, the generation that owns the largest share of American homes, are planning to stay put — leading to less inventory for new buyers.”

When it comes to larger houses, three bedrooms or more in the valley, baby boomers also own the largest share, according to a Redfin study, which used census data. Boomers own approximately 28 percent of the three-bedroom-plus homes in the United States, twice as many as millennials with children, the study said.

Redfin also explained why boomers are reluctant to give up larger properties.

“There’s not much financial incentive to let go of large homes. Most boomers who own homes have no mortgage,” the study stated. “For that group, the median monthly cost of owning a home, which includes insurance and property taxes, among other costs, is just $612. For the boomers who do have a mortgage, nearly all have a much lower interest rate than they would if they sold and bought a different home with today’s near 7 percent rates. Even if they downsized, they may have a nearly identical monthly payment.”

Redfin data also shows that Gen Z is outpacing millennials and Gen X in terms of homeownership, however they are all trailing baby boomers by a wide margin.

“The homeownership rates for 19-to-25-year-old Gen Zers are higher than the homeownership rates were for millennials and Gen Xers when they were the same age,” said the study. “For example, the rate for 24-year-old Gen Zers is 27 percent, compared with 24 percent for millennials when they were 24 and 23.5 percent of Gen Xers when they were 24.

A new study from Point2 noted that one potential hot spot for Gen Zers in the U.S. to get into the housing market is in North Las Vegas, which ranks first in the country when it comes to homeownership for that demographic.

Contact Patrick Blennerhassett at [email protected].

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