Now may be the time for baby boomers to jump on the bandwagon – whether it’s to downsize, rightsize or simply age in place. For the first time, recent data indicates that baby boomers have surpassed millennials as the largest group of home buyers in the United States. According to a report from the National Association of Realtors (NAR) published on April 4, 2025, baby boomers now constitute 39% of home buyers, overtaking millennials, who represent 28%.
This shift is attributed to several factors:
1. Boomers Have More Money & Equity
Boomers have had decades to build up wealth, savings, and home equity. Many are selling homes they bought decades ago and using that equity to either upsize, downsize, or relocate — often buying in cash, which makes their offers way more attractive in a competitive market.
2. Millennials Are Still Catching Up Financially
Millennials faced:
The 2008 financial crisis just as they were entering the workforce
Student loan debt like no generation before
Wages that haven’t kept up with inflation and housing prices
All of that delays their ability to save for a down payment or qualify for a mortgage.
3. Cash Buyers Have the Advantage
In today’s high-interest rate environment, being able to buy in cash is a huge win. Boomers can do that — millennials generally can’t. Cash deals close faster and often win bidding wars.
4. Lifestyle Shifts
Many boomers are retiring or working remotely, so they’re making lifestyle moves — relocating to more affordable areas or closer to family. That demand adds pressure in places where millennials are also trying to buy starter homes.
5. Inventory Is Tight, Especially for Starter Homes
There just aren’t enough homes, especially affordable ones. Millennials are mostly first-time buyers aiming for starter homes — but boomers are competing for the same properties, either as downsizers or investors. And boomers can usually outbid them.
If you’re ready to jump on the baby boomer bandwagon – whether its to downsize, rightsize or simply age in place – just reach out. We’re here to help you make a great move!
Source: Business Insider, Market Watch, National Association of Realtors
