Boomers & Millennials In The Market

Andrea Durway Posted by
Market Conditions, New Listings Jun 2016
We have two really nice listings coming soon that are being offered at excellent price points. These are move-in ready homes in the desirable Tower Grove area, which will appeal to boomers, millennials and everyone in between. 
4201 Wyoming
4201 Wyoming Open House, Sunday, June 5 from 1-3pm

(UPDATE: Sold 6/6/16) 4201 Wyoming in Tower Grove South has 3 large bedrooms, 2 full baths, lovely fenced yard with circular patio and 2 car off-street parking pad. This home was converted from a 2 family building to a single family residence approximately twelve years ago. South facing set on a corner lot, this home is flooded with morning light. Enter into a large living room with shiny floors. The dining room is in the center of the home followed by an updated kitchen with new granite counter tops. Storage space abounds on this floor with a first floor side-by-side laundry/utility room and a separate pantry. All of the bedrooms are on the second floor. No one draws the short stick here as all are true bedrooms with fantastic closets. The rear bedroom walks out to a deck and overlooks a tree covered and tranquil fenced back yard. Great walk score! Just steps from the park. Never miss a soccer game with the Amsterdam Tavern just around the corner! You can view this home during its open house this Sunday (6/5/16) from 1-3pm. It is being listed at $225,000.

3942 Arsenal
3942 Arsenal Open House June 12, 2016 from 1-3pm

3942 Arsenal This urban chic home is steps from award winning Tower Grove Park. An historic home with many interesting art deco details including entry way, coffered ceiling, curved walls and ornate wrought-iron stair rail. Recently updated, this home features newer kitchen cabinets, countertops ,and stainless Frigidaire appliance package. The wide open floor plan creates an expansive and loft-like first floor great for entertaining. The large deck right off of the kitchen offers extra space to bring the party outside. A half bath completes the main floor. Upstairs are three bedrooms and a full bath. The master bedroom is extra large and overlooks the expansive fenched backyard which is great for gardening and playing. All new(er) double pane windows. Updated electric and plumbing. New HVAC (2014). New Roof (2014).  All this is being offered for $225,000.  

Housing Trends for Boomers & Millennials

It seems like every week we are reading new predictions about where the boomers are moving in their retirement years and when and where the millennials will enter the market. Economist read the census data differently, but most agree that cities and walkable suburbs offer a strong pull for boomers and millennials. The two listings above meet many of their demands. 

56 percent of millennials and 46 percent of baby boomers prefer to live in more walkable, mixed-use neighborhoods; demand is also evidenced by sharp increases in rents in recent years.

The Boomers

According to U.S. News & World Report, about  two-thirds of retirees have either already moved, or plan to move, and most of them are downsizing to a smaller home, but with a significant counter-trend. Some 30 percent of boomers say they intend to move to a bigger house – large enough for their children to visit with the grandchildren, or sometimes to accommodate an adult child who lives with them. They typically want:

  • Move-in ready, updated homes
  • Walkable neighborhoods and/or access to public transportatoin
  • Medical care/facilities nearby
  • Access to cultural activities, restaurants, shopping

40 percent of retirees and pre-retirees expect that they will move to a different part of the country. That still leaves 60 percent who will stay close to home. We St. Louisans love our homes and our neighborhoods. Our families live nearby, and we want to stay close to old friends. 

Millennials

Americans born after 1980 make up the largest generation in history. A week doesn’t pass without some sort of report about millennials and their impact on the housing market. Statistics indicate that the first wave of millennials moved to the cities as they began their first jobs and they were deemed the generation dedicated to living and working downtown. But then a nationwide survey of millennials aged 19 to 36 showed only 13 percent of millennials actually lived in or near downtowns—63 percent lived in other city neighborhoods or suburbs. Many are being priced out of the bigger cities, so they are moving to more affordable rustbelt cities, like St. Louis. Bloomberg took the most recent US Census data and came up with the Millennial Housing Affordability Index, declaring 13 cities completely unaffordable for home ownership based on estimated earnings for the millennials living there. The chart below reflects this. 

Bloomberg.com chart using data from US Census, Zillow.com and Bankrate.com

Millennials typically are interested in walkability and public transportation, time to enjoy relationships and quality of life issues (not working long hours to pay rent or mortgage in a big city), and affordability, since many have student loan debt. Below shows where St. Louis ranks in the affordability study.

milllennialchart

Summary

Both of these Tower Grove homes are both being listed under $250,000. This is a great price point for this area. Plus you will be able to check-off the boxes for most of your wants and needs. For more information, contact us and a buyer’s specialist can answer your questions about the homes and others in the area, or visit at the 4201 Wyoming Open House this Sunday  (6/5) or the 3942 Arsenal Open House next Sunday (6/12).

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