While seniors do occupy a lot of housing, a closer analysis shows they aren?t causing the problem Ask housing policy experts why housing costs are at or near all-time highs in most cities in America and you?ll get one primary answer: There aren?t enough houses and apartments for people to buy or rent.
There are many reasons for the housing shortage. Home builders haven?t been able to build at a pace that keeps up with demand. Major cities lack enough land to build on. People who already own homes aren?t upsizing or downsizing, which limits the circulation of homes on the market.
But at a time when intergenerational rivalry has become a viral meme, it?s been easier for many to blame one particular punching bag: baby boomers.
The theory goes like this: Senior citizens historically will downsize into smaller houses as their children leave the nest. This allows younger families with starter homes to expand into larger houses. That in turn allows first-time homebuyers to buy starter homes that the younger families are moving out of. But since the financial crisis, this cycle of homeownership has come to a halt, and baby boomers who ?won?t move,? particularly those who live alone in houses that could otherwise be home to multiple people, are often blamed. This chokes off the number of available homes for sale, the homes that are for sale are subject to bidding wars, and the price of housing rises as inventory drops.
?As supply has not kept up with demand, people who already...