It is easy to treat any generational group as a single unified whole, all with the same interests, preferences, mores, and lifestyle. But as the AARP’s recent quarterly Boomer Report reveals, that is a mistake.
The report, “How Well Do You Know Boomers? Counting Down the Top 10 Boomer Myths,” produced by AARP and partner Focalyst, identifies the most common misconceptions about the boomer generation and debunks the myths. The truths behind several of these myths hold implications for all home builders.
Here, in descending order, are the top 10 common myths about the baby boom generation. Find out how much—or little—you really know about them:
#10: Boomers are retiring early—
Not so, according to AARP. Only 11 percent of boomers are planning to stop working entirely when they reach retirement age. Some will continue to work because they want to stay engaged, beceause they love their jobs, because they need the health benefits, or simply because they need the income, according to Elinor Ginzler, senior vice president for Livable Communities, AARP.
#9: Boomers are downsizing their homes—
The idea of older Americans simplifying their lives and homes as they age and moving into smaller residences actually is not the norm. Only 6 percent of boomers plan to live in a smaller residence five years from now, AARP says. Many will renovate their current home to accommodate their changing needs as they age.
To help their efforts, AARP has worked with the NAHB to develop the Certified Aging in Place educational curriculum to teach contractors and builders about the aging process and how to renovate and build homes to keep people safe and comfortable.
“Aging in place will play well with remodelers, because a lot of people love their current homes and want to stay in them,” says custom builder Joanne Theunissen of Mt. Pleasant, Mich.-based Howling Hammer Builders and 2008 chair of NAHB’s 50+ Housing Council. “They’re not planning to go far from their kids. They’ll maintain their homes and have everyone back for the holidays.” Those that do move elsewhere will do so out of a desire for a lifestyle change rather than a desire to downsize, she adds.
#8: Most boomers are married empty-nesters—
In reality, only one in four boomers fit this profile. One-third are singletons, and 37 percent of all boomers still have children under 18 living at home. Also, many have adult children living with them due to current economic conditions.
#7: You can capture boomers with mainstream advertising—
According to AARP, boomers may be paying attention to mainstream advertising, but 66 percent say ads have gotten more crude and another 67 percent say they are less likely to purchase a product if they find its advertising offensive.
#6: Boomers are brand-loyal—
They are not as set in their ways as many believe; boomers are just as likely as younger people to experiment with new products. AARP’s study showed that 61 percent agree that staying loyal to just one brand doesn’t pay.
#5: Boomers are all wealthy—
Collectively they may be the wealthiest generation in history, but the reality is that only 9 percent of boomers are truly affluent, meaning they have pre-tax incomes of $150,000 or more if working or $100,000 or more if retired. One-quarter of boomers have no savings or investments at all, so many will forgo retirement simply because they still need the income. However, the affluent 9 percent of boomers are not necessarily the only ones who will not downsize their homes.
#4: Boomers are winding down with age—
Boomers actually are very active, AARP says, participating in an average of 10 activities, such as traveling, attending sporting events, and bicycling, among others. Many are choosing to retire in urban areas where they can have walkable lifestyles and easy access to life-enriching social outlets such as shopping, restaurants, and the arts, according to Ginzler.
Healthy, active boomers who prefer to retire to less-urban areas may move to active-adult communities, gaining a new lifestyle along with a new house. Historically, Ginzler says, these communities have been built in specific regions of the country, such as the Sunbelt, but she reports that the NAHB has recently found that there is a greater desire for these communities all around the country, so that retirees don’t have to move far away from their families and friends. According to Theunissen, boomers in general are proving not to be the snowbirds their parents were.
#3: Boomers are technologically challenged—
As AARP’s study clarifies, boomers were around when all the technology we now depend on made its way into the workplace and then was adapted into other life applications. According to AARP, 82 percent of boomers go online for activities beyond e-mailing, such as instant-messaging, downloading music and movies, managing finances, conducting transactions, and even online gaming.
“They like comfort, convenience, and they are absolutely interested in safety,” points out Ginzler. “They are willing to use technology for that comfort and convenience.”
The idea of a fully automated, computerized house may not be appealing to many boomers, because they’ve had the experience of being the technology guinea pigs. “They’re hesitant on the concept of a smart house for fear it will all go bad,” Theunissen explains. “But they’re also interested. So if they can be assured of its reliability, they’ll be comfortable.”
Theunissen thinks most boomers will be comfortable with voice activation, computer controls, and security systems that notify occupants or a monitoring service about break-ins, fires, or water leaks.
#2: Boomers are the “Me Generation”—
They may be portrayed as self-centered, but AARP’s report indicates that a more apt label would be the “We Generation,” as 70 percent of boomers say they feel a responsibility to make the world a better place. About 54 percent purchase environmentally safe brands. And less-affluent boomers show a higher incidence of purchasing environmentally safe products than the more affluent. Ginzler says there is every reason to expect that as boomers modify their homes they will make environmentally friendly choices.
#1: Boomers are all the same—
It would certainly make catering to the baby boom generation easier if all 77 million members thought and acted as one, but it just isn’t so. Within this large cohort is a wide range of ages—from the leading-edge boomers who will turn 62 this year to those on the trailing edge who will turn 44—and a wide range of life stages and lifestyles.
Also, AARP’s report sheds light on the fact that between the ages of 50 and 65 the typical boomer experiences an average of two major life events each year in the areas of career, family, finances, or health, any of which are likely to influence attitudes, goals, consumer behavior, lifestyle, and housing needs. “We’re going to need housing options that are wide in their dimensions,” Ginzler says.
“We’ll be watching to see how the implications of their engagement with work and with communities, and their desire to reinvent themselves play out when considering housing,” she adds.
