re: What happens to homes when occupant passes?

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The phenomenon, dubbed a “silver tsunami,” refers to a supposed massive number of homes flooding onto the market, freed up by baby boomers. The number of baby boomers alive and the share that are homeowners has to decline at some point, but there’s been a fear that “given the sharp increase in how they came into the world, there’s going to be a sharp fall off in how they go out,” Finnigan says.

But that’s not the case; it’s not a cliff.



More than 9 million homes are expected to come onto the market in the next decade, as there will be nine million fewer baby-boomer-owned homes or households, according to Freddie Mac. But “the tsunami is more like a tide, bringing a gradual exit that will mostly be offset by new entrants,” it said. Nine million homes is a big number, but would only be roughly 9% of all owner-occupied homes, Finnigan says.

If you look at what happens to homes when people pass away, Finnigan’s team found, it takes about four deaths to equate to one home listed for sale. And not to be so grim, but when people pass away, their partner might hold onto their home, or it’s passed on to their children. So if there were to be three to three and a half million deaths per year for the next decade, then less than 1 million homes would be listed for sale, .

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