If it truly is a numbers game, more than 78 million baby boomers... born between 1946 to 1964... will reach age 55 over the next 10 years. This group has taken a beating with declines in their home values, IRA's and other retirement plans. The dreams of early retirement and decades of carefree living may seem further off right now, but I have personally seen this group of people re-write the book on how things are done.
Last October, we featured an article about the aging population: http://floridagulfpropertypurteeteam.blogspot.com/2009/10/social-economic-implications-of-aging.html This is an innovative group with massive influence with their actions. They are not inclined to stay down. This hard-working group may have just the answer to analyzing what caused this economic downturn and how to propel it forward. Even though none of us has been immune to the implications of the last couple of years, I personally am so grateful we are already in the Tampa Bay area. As others discover its tremendous appeal, we as realtors are doing all we can to help ensure they get the same benefits of living in the area as we have.
Showing posts with label impact of baby boomers on Florida real estate. Show all posts
Showing posts with label impact of baby boomers on Florida real estate. Show all posts
Tuesday, March 9, 2010
Tuesday, October 6, 2009
Social & Economic Implications Of An Aging Population
We see it every day... older Americans are very different from their predecessors: they live longer, are more educated and fewer are disabled or live in poverty. And baby boomers, the first of whom celebrate their 60th birthdays this year, redefine what it means to grow older in America.
I have gathered some key statisics in regards to our aging population... here are some:
1. The U.S. population age 65 and over is expected to double within the next 21 years. By 2030, almost one out of five Americans (72 million people) will be age 65 or older. At that time, those age 85 and older will be the fastest-growing segment of the population.
2. Older Americans are healthier than seniors of previous generations, though many are disabled and suffer from chronic conditions.
3. Higher levels of education — which are linked to better health, higher income and a higher standard of living in retirement — will continue to increase among people age 65 and older.
4. As the United States grows more diverse so does the population age 65 and older. In 2003, older Americans were 83 percent non-Hispanic white, 8 percent black, 6 percent Hispanic and 3 percent Asian. By 2030, an estimated 72 percent of older Americans will be non-Hispanic white, 11 percent Hispanic, 10 percent black and 5 percent Asian.
5. Despite the economic downturn, the population of affluent Americans (those with household income and income producing assets (IPA) of $100,000+) has grown and now makes up the top 19% of all US households, according to a Nielsen Company analysis. “There are more higher-earning Americans than ever, signaling a growing opportunity for many business sectors to capitalize on reaching this market. This group controls $22 trillion in assets.”
To relate these statistics to Florida real estate makes sense. An aging population of baby boomers just now moving into their 60's have many years left and all indications are that we will see an active aging population unlike any before. Florida is still the number 1 destination for retirement with its moderate climate and active lifestyle. As the current economy may have put early retirement plans on hold for many, some forward thinking buyers are taking advantage of the market value today to ensure they have the property they want in the future (without paying a premium as the market rebounds and appreciates). Because the area is also a strong vacation destination, rental income potential is an attractive option to defer some of those carrying costs. Vacation Rental Investment
I have gathered some key statisics in regards to our aging population... here are some:
1. The U.S. population age 65 and over is expected to double within the next 21 years. By 2030, almost one out of five Americans (72 million people) will be age 65 or older. At that time, those age 85 and older will be the fastest-growing segment of the population.
2. Older Americans are healthier than seniors of previous generations, though many are disabled and suffer from chronic conditions.
3. Higher levels of education — which are linked to better health, higher income and a higher standard of living in retirement — will continue to increase among people age 65 and older.
4. As the United States grows more diverse so does the population age 65 and older. In 2003, older Americans were 83 percent non-Hispanic white, 8 percent black, 6 percent Hispanic and 3 percent Asian. By 2030, an estimated 72 percent of older Americans will be non-Hispanic white, 11 percent Hispanic, 10 percent black and 5 percent Asian.
5. Despite the economic downturn, the population of affluent Americans (those with household income and income producing assets (IPA) of $100,000+) has grown and now makes up the top 19% of all US households, according to a Nielsen Company analysis. “There are more higher-earning Americans than ever, signaling a growing opportunity for many business sectors to capitalize on reaching this market. This group controls $22 trillion in assets.”
To relate these statistics to Florida real estate makes sense. An aging population of baby boomers just now moving into their 60's have many years left and all indications are that we will see an active aging population unlike any before. Florida is still the number 1 destination for retirement with its moderate climate and active lifestyle. As the current economy may have put early retirement plans on hold for many, some forward thinking buyers are taking advantage of the market value today to ensure they have the property they want in the future (without paying a premium as the market rebounds and appreciates). Because the area is also a strong vacation destination, rental income potential is an attractive option to defer some of those carrying costs. Vacation Rental Investment
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