Gen X Plans Its Next Home-Buying Move

Sitting between their millennial children and baby boomer parents, Generation X appears to be hitting their stride as they take on a new milestone: their 50s. According to a recent survey by Del Webb, a leading builder of active adult communities, the start of the Gen X generation is turning 55 and looking ahead to retirement. But until they get there, they are enjoying their careers, building larger nest eggs and even getting ready for their next big move, which in some cases may require enough room for their boomer parents.
 
Seventy two percent of surveyed 50-year-olds say they are looking forward to retirement, despite it still being several years away. That said, Gen Xers are not just counting down the days to retirement. In fact, 85 percent of those surveyed report that they actually like their jobs.

To that end, Del Webb reports that about a quarter of its residents still work in some capacity, and they expect this trend to continue. In order to meet the trend of 55 and older homebuyers who want to work into their retirements, the builder is offering more active adult communities closer to large metro areas and employment hubs.

In addition to liking their jobs, today’s 50-year-olds are also saving more of their earnings. In a comparable Del Webb survey conducted a decade ago, over 50 percent of respondents had less than $50,000 saved for retirement. This cohort has dropped to only 35 percent, with more respondents indicating much higher levels of savings:
  • 21 percent have saved between $50,000 and $99,000
  • 18 percent have saved between $100,000 and $249,000
  • 14 percent have saved between $250,000 and $499,000
  • 12 percent have saved over $500,000
Thanks in part to greater financial stability, 60 percent of surveyed 50-year-olds indicated they intend to move in the future, with over a quarter saying they plan to move in the next one to three years. Of those who intend to move, 58 percent are planning to make a significant life change by moving to a new city, state or country (with 22 percent planning to stay in the same town and 20 percent who just don’t know).

According to previous Del Webb research, when Gen Xers do move, space will be a priority, with the clear majority (71 percent) preferring a single-family home along with three or more bedrooms (67 percent). This may, in part, be because nearly 30 percent of those in the sandwich generation anticipate their next home will need to accommodate aging parents.

Given their growing nest eggs and large buying power, it is no surprise that more than half (56 percent) of respondents believe they are equally or more financially secure than their parents were at this age. The increased financial awareness and preparedness of today’s 50-year-olds compared to 10 years ago has nearly 80 percent of respondents believing they are enjoying life the same as or more than their parents did at their age.

The trend toward multiple generations living under one roof has persisted for nearly a decade and does not appear to be changing anytime soon. Multi-generational design trends, such as dual master bedrooms, separate apartments (known as “in-law” suites), open-access floorplans and flexible room designs that allow for change in the future are among the many customizable options available when you build a new home designed for your particular lifestyle.

Source: PulteGroup

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