Monday Market Update: First-Ever ‘Generational Housing Succession’ Report Is Here

Last week we mentioned that a lot of data was on the way, and this week is starting off with one more notable release! The first-ever Generational Housing Succession report came out today, written by Realtor.com® Senior Economist Jiayi Xu. The National Association of Realtors® explains that “This report will examine demographic trends for the oldest Americans—the Silent Generation and baby boomers—and look at how they are going to affect the housing market in the years ahead.”

We encourage you to read the report in full here, as there is a great deal of information and analysis covered. We have summarized the key points for you below! 

- Between 2026 and 2036, 13.9 million homes currently owned and occupied by the Baby Boomer Generation and the Silent Generation are expected to be released back to the market.

- This research report defines ‘release back into the market’ as: death, a move to institutional care, household consolidations, or a move to rental property. 

- The pace of homes released back into the market is likely to accelerate over time, with 1.27 million homes entering the market in 2027 and 1.52 million likely by 2036. 

- This shift represents older homeowners exiting home ownership; since 2026 is the year that the oldest Baby Boomers turn 80 and that is the age of the steepest decline in home ownership, the sheer size of the Boomer generation is projected to make a large impact. 

- Of these properties, nearly 72% may be family homes (3-4 bedrooms), approximately 25% are expected to be large homes (5+ bedrooms), and barely 3% are likely to be starter homes. 

- Move-up buyers will have the most opportunity with entry-level buyers facing the lowest supply increase in starter homes. 

- Ultimately, the Silent Generations and Baby Boomers are going to release 74% more homes in the next 10 years than they have in the past 10 years.

- Researchers address the looming question of “Will this much supply increase push prices down?” by summarizing that “the softness [of prices] will be real, though its effects will be uneven across segments and markets, not a uniform, nationwide correction.” 

Only time will tell how fast generational succession will occur and how it will impact our local micro-markets and Silicon Valley as a whole. This will be an ongoing trend to watch and one considerably variable by city and community. 

Cheers to taking it one day at a time,

Bobbi 

Resources Used: 2026 Realtor.com Generational Housing Succession; ‘Silver tsunami’ set to free up 13.9 million homes, but first-time buyers will see limited help

Bobbi Decker
DRE#00607999

Broker Associate, Bobbi Decker & Associates
650.346.5352 cell
650.577.3127 efax
www.bobbidecker.com
NAR Instructor….“Designations Create Distinctions”
CIPS, SRS, ABR, CRS, SRES, GRI, CLHMS, REI, AHWD, RSPS, MSLG

Bobbi Decker & Associates fully supports the principles of the Fair Housing Act and the Equal Opportunity Act. For more information, please visit: http://portal.hud.gov/