What are your thoughts re the aging demographics of baby boomer...

What are your thoughts re the aging demographics of baby boomer investors in relation to property investments.

I am currently renting and do not intend on purchasing a property for a few years (probably 2011).

The way I see it, the current immigration policy is set up for a foundation of low paid workers unable to afford the already unaffordable housing situation. The vast majority are employed in non skilled labour working two jobs to support a family proportionally higher than the average 2 children. This form of filling the gaps where locals don't wish to work within a mundane job seems to be a theme.

As gen x, y's born in australia have been squeezed out of the housing market into renting thanks in part to their baby boomer parents investing in multiple properties, it seems supply is held in the hands of the marginalised majority. The vast number of which will seek to cash in their nest eggs to fund their impending retirement (average retiring age 58, which is the average baby boomers age currently) and other expenses.

As the stock market has already burnt many a senior citizens super, recent figures showing a cooling of property prices and cash proving king, a situation seems likely in which will accelerate to bring the property cycle full circle, ie. 20years from 1991's lows, ie. trending to a 2011 bottoming.

Forecasts are for 40% rises with 5 years. However might it not be that prices will stagnate, dip and bounce once people realise profits from the resources super cycle (late 2010 peak at a guess) and need to churn that to a sector which looks comparatively cheap? So wouldn't it be more likely for a 40% rise in an 12-18month period in around 3years plus...

Just some thoughts to keep the ball bouncing..

Disclaimer: Late night ramblings :0)