There have been a lot of conversations revolving around millennials and their significant impact on the residential real estate market. Generation X, which is comprised of those in the 37 to 51-age bracket, is making a substantial impact as well. Generation Xers currently make up the second largest share of homebuyers; 28 percent of all homebuyers for 2016.
Generation Xers typically have the largest families and make up the largest portion of buyers that are married couples (68 percent), according to the National Association of REALTORS® (NAR). Chief reasons for home purchases by those in the Gen X group are the wish to live in a larger home, an employment-related relocation, and modifications within the family situation.
Generation X also makes up the second largest percentage of first-time homebuyers (26 percent), the largest segment to buy detached single-family homes (87 percent), and they have the highest median household income of all age groups at $106,600.
In line with the fact that they have the highest median household income of all age groups, Gen Xers are purchasing the largest, most high-priced homes on the housing market, in comparison to all other generations. The median price of homes purchased by Gen X buyers is $261,000, according to NAR.
NAR indicates that a portion of Gen X buyers find previously owned homes attractive, while others prefer new homes that they are able to customize to their likings. Gen X buyers are also the most likely of any age group to consider good school zones in their purchase of a home.
Gen X also represents the biggest portion of sellers (29 percent), according to NAR. The median price at which they are selling their homes is $240,000. One out of five Generation X sellers indicates that they would have preferred to sell at an earlier date, but they owed more on their homes than what the value was.
