I have thought a lot about baby boomers property.
The first thing to consider is that baby boomer generation is large but also very spread out. Born 1946-64.
So the first are 70 odd now and the last are 50 odd.
So there will be a steady stream retiring for the next 20 years.
* I do expect more property on the market due to this.
* Many baby boomers started investing in property when it was cheaper than today in dollar terms, meaning debt is much lower or non existent.
* Some will stay in their homes
* Some will downsize - creates a seller but also a buyer of high quality smaller accomodation (quality property will be in demand)
* Some will sell down IPs to pay off debt
* Some will retain IPs as a safe and stable form of income
* Most will try to pass something on to their children (this is a good subject for another conversation, what will the kids do with inherited property?)
Next generations;
Gen Y and the "kids" generation (as labelled by the abc in the below Census overview) are both larger than the Baby boomers. When combined (plus the smaller gen x group) they represent many more buyers over the same 20 years that the baby boomers retire.
So whilst the sell side has some pressure, the buy side arguably has more pressure.
Not to mention current immigration settings adding to this pressure.
http://www.abc.net.au/news/2017-06-27/census-australia-as-100-people/8634318
Good discussion to be had. Hopefully constructive.
