Who is moving right now and how do I find new listings?
Part III: The Boomers – Diplomas, Downsizing & Discretionary income
Who is moving right now and how do I find new listings?
The short answer: The only people that are moving right now, have the means to do so. Additional movers simply have to move as poor affordability still beats the alternative. The people who are moving right now are listing their homes because they are experiencing a life altering life event. Life events frequently necessitates a move.
At Revaluate, our AI predicts who is most likely to move. The Revaluate AI is powered by life event data – the same life events that cause people to move. Our clients range from individual agents to national brands. They leverage our data as part of their marketing and lead gen strategy. We call these the Data D’s and in Part II we will explore 3 D’s that relate to families: Diapers, Diamonds and DINK’s.
Baby Boomers were born between 1946 and 1964. Boomer’s Gen X, Millennials,[9] or Generation Z children are growing up and out (hopefully) of the house. The youngest Boomer just turned 60 years old last year (the oldest is 78 years old). This segment has wealth and equity like no other generation. The boomer age group has the greatest amount of discretionary income. Boomers are controlling about 70% of the net worth of all American households or 2.4 trillion dollars. Boomers are moving at an alarming rate as lots of them south to warmer climates as they retire.
Diplomas and Downsizing
Diplomas and Downsizing go together hand in hand and indicate a change in life. Be it a HighSchool or college diploma, they sometimes result in further financial freedom and potentially an empty nest. This is a large market of potential sellers and buyers. As of the 2020 census, there are 22.5 Million empty nesters in the US. As these Boomers realize they no longer need the space, they will downsize. Boomers will sell their mc mansions for smaller, more manageable properties in more desirable locations. No longer will their primary focus be the school district.
With other families a high school diploma might indicate several moves. Selling the family home to leverage equity to pay for expensive secondary education is common. For upper class families, its not uncommon to buy a second house. That way, junior has a place to live in while away at school. They may also opt to or move across the country to stay near JR as they continue education. Like graduation caps soaring upward, Diplomas frequently indicate that change is in the air. The opportunity for real estate agents who are tuned in is significant.
Discretionary Income
A good rule of thumb is that by putting aside 50 percent of your income for necessities and another 20 percent for financial goals, it leaves 30 percent of your income to use as discretionary money. But with 2.4 Trillion in discretionary income, slightly higher interest rates really ought to not dissuade boomers from doing what they want, where they want with regard to housing. They have owned many homes with a wide variety of rates – some had 20% interest rates, so they know they can afford higher rates and increased housing costs and will spend to get what they want.
Who is moving right now and how do I find new listings?
Households with discretionary income are looking to move. Households with kids who have graduated, and they are looking to downsize or move to a new, warmer location. Those movers will be listing their homes where you focus your business. The trick is to find those people and nurture a relationship before they work with your competition.
Revaluate AI leverages this data and more to uncover leads in your database and in your neighborhood. People are moving – will they make that move with you?
Schedule a time to talk with our data nerds to learn how much opportunity lies waiting for you in
your database and your neighborhoods for 2024 and beyond.
Part I: Difficult Situations – Death, Distressed and Dumpsters
Part II: Families – Diapers, Diamonds & DINK
