There’s a new roommate trend that’s trying to tackle the housing crisis and affordability.
Renting out rooms to the younger folk isn’t new, and neither are roommates. With high inflation and rising housing costs, more and more boomers are deciding to home-share with younger people who need affordable housing.
Baby Boomer empty nesters typically own more large homes than any of the younger generations, and while multigenerational living is growing more popular, many of these homes are close to empty with very few occupants.
Enter the idea of ‘boommates’: a boomer-aged person renting a room or space in their home to an unrelated younger person, or sometimes persons, to not only provide a rentable room at an affordable cost but to also bring in income for themselves.
In Canada, roughly 5 million houses will need to be built to restore affordability, and in the US, about 6.5 million homes are needed.
Gen Z and Millennials are not the only ones to feel the effects of the housing crisis, with retired and older generations also finding it hard to keep up with rising costs and inflation whilst on fixed incomes. In an effort to combat that, typical living citations are diverting from the norm and house-sharing has become more common.
Older generations are also holding onto their homes for longer. According to a Canadian Mortgage and Housing Corporation report, seniors are less likely to sell their homes before the age of 85. As a result, fewer seniors are downsizing, which limits the availability of larger homes for younger buyers, contributing to reduced inventory in the market. Similarly, in the US, AARP surveys found that roughly 90% of adults over 65 want to age in place in their current homes.
And it’s not just intergenerational roommates that are on the rise. Boomers are also taking to sharing a home with friends or those in a similar age group and position. Not only to save a bit of money and fulfill a financial need, but also an emotional one and combat loneliness. Maybe the Golden Girls had the right idea.
Are you looking to enter the real estate market this fall? Give us a call today! One of the experienced agents at Zoocasa will be more than happy to help you through the exciting home-buying process!
