New Builder/Zonda research shows baby boomers hold an extraordinary amount of housing wealth, but that financial strength may also be one of the reasons many are staying put. New-construction expert Lori Lane says the opportunity for active-adult builders is to offer a lifestyle compelling enough to make moving worth it.
Baby boomers are sitting on one of the strongest financial positions in the housing market.
They are also among the homeowners builders may have to work hardest to convince to move.
New research published by Builder finds that boomers accounted for 42% of recent homebuyers and 55% of home sellers, making them the largest share of both groups. Nearly 79% of boomer-headed households owned their homes in 2024, and more than half of boomer homeowners owned their homes free and clear. Builder/Zonda’s analysis points to a unique challenge: decades of appreciation and home equity give boomers tremendous purchasing power, but also make their current housing situation extremely difficult to improve upon financially.
For Lori Lane, President and CEO of LLANE & Co., that changes the active-adult sales conversation.
“The assumption is often that if someone has the equity and financial ability to move, they will,” Lane said. “But having the means to move and having a reason to move are two very different things. For many 55+ buyers, their current home is paid for or close to it. We have to give them something compelling enough to leave a situation that is already financially comfortable.”
The Competition May Be the Home They Already Own
For a homeowner who has spent decades paying down a mortgage, staying put can be appealing.
Moving may mean taking on higher property taxes, insurance premiums, HOA fees, transaction costs and moving expenses. Even buyers who can purchase their next home largely or entirely with equity may still ask a simple question:
Why move?
That is why Lane believes the active-adult industry needs to think beyond affordability alone.
“For this buyer, the biggest competitor may not be another community down the road,” Lane said. “It may be the house they already own.”
That requires a different value proposition.
The next home has to make everyday life noticeably better.
Less maintenance. More opportunities to socialize. Better access to fitness and recreation. A home designed for how the buyer wants to live now. Proximity to children and grandchildren. The ability to lock the door and travel without worrying about the yard.
Those priorities are reflected in active-adult communities Lane works with, including Patrick Malloy Communities’ Soleil Belmont Park and Soleil Summit Chase, where the lifestyle extends well beyond the home itself. Clubhouses, pickleball, fitness, social activities and thoughtful gathering spaces give residents built-in opportunities to stay active and connected.
“The move has to solve something,” Lane said. “Maybe they are tired of maintaining a large property. Maybe they want a stronger social life. Maybe they want to travel more. Maybe they want to be closer to family. The home is important, but what really creates the motivation is what their life looks like after they move.”
Equity Creates Choice, Not Urgency
The Builder/Zonda analysis describes this as the “equity advantage.” Boomers who purchased decades ago have benefited from years of home appreciation while paying down mortgage debt. That can give them the ability to make a substantial down payment or even purchase another home with cash.
But equity is not the same thing as urgency.
In fact, it can produce the opposite.
“If someone is financially secure in a home they already know and love, builders cannot assume that a beautiful new house by itself will be enough,” Lane said. “We have to answer the question, ‘What gets better if I move?’”
That answer may look different depending on the buyer.
For some, resort-style social amenities may be the draw. For others, it may be access to the water and an entirely different way of spending their free time.
Southwyck Communities’ Lake Society on Lake Lanier offers another example of how active-adult communities can create a reason to move that goes beyond the house itself. Lake access, community docks, pickleball, resort-style amenities and opportunities to connect with neighbors become part of the value proposition.
“It might be walking out your door and having someone to play pickleball with. It might be meeting friends for dinner or drinks that evening. It might be getting out on the lake or traveling for three weeks without worrying about everything you left behind,” Lane said. “Those are meaningful changes in someone’s everyday life.”
Selling the Next Chapter
The findings also reinforce something Lane has been emphasizing about the 55+ buyer: this is not a single, easily defined demographic.
Some buyers want to downsize. Others want more flexible space for visiting family. Some are retired, while others are still working. Some want to move closer to children and grandchildren; others are looking for an entirely new lifestyle.
That makes understanding buyer motivation especially important.
“The question cannot simply be, ‘What floor plan do you want?’” Lane said. “It needs to be, ‘Why are you considering moving at all?’ Once you understand that answer, you understand what you actually need to sell.”
For active-adult builders, Lane believes the opportunity is significant. The same financial strength that makes boomers comfortable staying put also means many have the ability to act when the right opportunity appears.
The challenge is creating enough desire to overcome inertia.
“Boomers may have more housing wealth than almost any buyer group we have ever marketed to,” Lane said. “But we shouldn’t mistake buying power for motivation.”
A paid-off house can be very difficult to leave.
So the active-adult builder’s job is not merely to offer another house.
It is to offer a next chapter that feels worth moving for.
“The 55+ buyer may already have a perfectly good home,” Lane said. “Our job is to show them why the life waiting on the other side of the move could be even better.”
