More baby boomers are planning a move, and they’re targeting cities with a lower cost of living, greater job potential, and warmer weather, according to new research by the National Association of REALTORS®.
“A broadly improving economy and rebounding home prices are giving baby boomers the opportunity to sell and move to support their retirement lifestyle,” says Lawrence Yun, NAR’s chief economist. “Furthermore, our research identified cities movers are gravitating to while still remaining in the workforce as a business owner.”
According to an NAR generational study earlier this year, baby boomers represent 30 percent of all buyers. They have a median income of $92,400, and their home purchases average about $210,000.
For its most recent research, NAR analyzed population trends, housing affordability, and local economic conditions, among other trends, in 100 metro areas to determine the housing markets baby boomers are most likely to gravitate toward.
NAR singled out Boise, Idaho, and Raleigh, N.C., as top standouts for baby boomers, mostly because of their solid job growth, share of self-employed workers, and affordable home prices. Yun also notes that Florida and Arizona cities are attracting many baby boomers.
NAR identified the following markets as the most likely to see an influx of baby boomers moving there in the coming years (listed alphabetically):
- Albuquerque, N.M.
- Boise, Idaho
- Fort Myers, Fla.
- Greenville, S.C.
- Orlando, Fla.
- Raleigh, N.C.
- Sarasota, Fla.
- Tucson, Ariz.
Additional markets NAR identified as having “strong potential for attracting” baby boomers include:
- Chattanooga, Tenn.
- McAllen, Texas
- Riverside, Calif.
- Tampa, Fla.
“These metro areas are attractive to baby boomers because of their housing affordability, lower tax rates, and welcoming business environment,” Yun says. “With baby boomers working later in life, these factors will likely play as much of a deciding role of where boomers eventually retire as will areas with a warm climate or variety of outdoor activities.”