Has the Real Estate Swoon Affected Baby Boomers

 

Has the Real Estate Swoon Affected Baby Boomers?

What has been the effect of the real estate swoon on baby boomers? How are they coping with some of the adverse effects of the slump in the real estate market?

With the oldest baby boomers reaching 62 years of age, in 2008, the real estate swoon is a cause of concern for baby boomers as well as those Americans who were planning an early retirement. For most Americans this is not a very “welcome” situation.

For one, the supply of housing units in the US has exceeded demand. That has adversely affected the sellers. The home buyers may be having a field day, but it would be interesting to note how the baby boomers have reacted to the current market slump.

You could use the proceeds obtained from the sale of your house to finance your new home. The proceeds could also be used to boost your retirement income. But the real estate swoon has made baby boomers a bit wary about selling off their homes. In the last one year or so, the price of houses in the US has fallen around 10%.

For example, real estate prices in Sarasota (Florida) slumped around 15.4% in the period spanning the fall of the year 2006 to the fall of the year 2007.

All those baby boomers who had invested in real estate, as a source of retirement investment, are facing a tough situation now. The over all state of the US economy has not made matters any better for the baby boomers, or any American who was looking forward to an early retirement. One of the options that is being explored by these baby boomers is that of delaying or postponing retirement.
According to the US Labor Department, a significant rise in the number of baby boomers has been noticed in the US workforce. Putting off retirement, or taking up a career after retirement, seems to be fast becoming the norm for baby boomers. A quick reassessment of retirement plans could go a long way in preparing you for any economic eventuality.

Another factor that makes delaying retirement a viable option for baby boomers include the scarce availability of health benefits for retirees. Falling stocks and price of houses have been the chief contributors to the current economic predicament in the US. The Wall Street Journal has been covering details regarding the real estate slump in the US and how it is affecting baby boomers on a regular basis. The online edition of this famous international newspaper is available at, “Online.WSJ.Com.”

According to the US Labor Department, a significant rise in the number of baby boomers has been noticed in the US workforce. Putting off retirement, or taking up a career after retirement, seems to be fast becoming the norm for baby boomers. A quick reassessment of retirement plans could go a long way in preparing you for any economic eventuality.