When the Baby Boomers were younger (1960-90), families with children made up more than 50% of all households. By the time we got to 2000 this figure had declined to 33% and by 2025 it is estimated to be around 25%.
As a result the suburban boom in housing prices that we experienced will in all likelihood slow down considerably and shift to a more urban environment. No one is predicting that suburban life is dying nor will it be replaced. Merely that as the demand cycle shifts (retiring baby boomers, different needs for Gen X & Y, rising oil costs, etc.) there will also be a shift toward different types and designs of homes as well as where those homes will be located. There are many families that will continue to prefer bigger houses and car-based lifestyles, but at the end of the day they will become a smaller group. By Stefan Swanepoel
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