Half of 7 million California home owners are baby boomers. Who will they sell to...

08-11-2011 • doctorhousingbubble.com

Half of the state home owners in California, roughly 7 million are aging baby boomers. The bulk of home sales in the last decade did come from this group or people that are older: 67 percent of those 75 and older changed addresses in the last decade, 26 percent of those 65 to 74 changed addresses, and finally 10 percent of those 55 to 64 changed addresses from 2000. This is important to note because in a state like California with a housing bubble still going, you have a wealthier older generation now selling to a generation that has a lower standard of living. Banks can play charades and hide inventory in balance sheet trickery but there is nothing that can reverse the aging of this nation. And many baby boomers are still expecting top dollar for their inflated real estate. Who will they sell to? One another? A younger and poorer generation? The math simply does not compute. The Fed would like to entice more suckers into the game by artificially slamming mortgage rates to record lows: