Downsizing Boomers to Fuel Apartment Market

Downsizing Boomers to Fuel Apartment Market

DAILY REAL ESTATE NEWS | WEDNESDAY, JUNE 24, 2015

Millennials may be a big driver of multifamily housing now, but baby boomers looking to downsize are expected to drive apartment growth over the next few years, according to a study by the Kansas City Federal Reserve. They found that older Americans are “increasingly downsizing” to apartments.
In general, the downsizing activity usually occurs around the age of 70 and becoming increasingly prominent by age 75, writes Kansas City Fed senior economist Jordan Rappaport. By next year, the oldest baby boomers will turn 70. The number of Americans aged 70 and older will increase by more than 20 million in the next 15 years, according to Census Bureau estimates.