In addition, more Millennials, a.k.a. Echo Boomers, entering the market should also help boost fundamentals. “In the past year, new developments have been met with strong renter demand, particularly for contemporary product in A+ locations that are heavily favored by today’s Echo Boomers,” Jeff Meyers, president of Meyers Research, tells GlobeSt.com. “This demographic of 95 million is obviously important because they are transitioning into the workforce, and detached shadow inventory is not competitive for this young cohort.”
It will be interesting to see if these folks, who have come of age at a time when the American Dream of home ownership turned into a nightmare for so many, will decide to stick with renting longer than their parent’s generation did. If so, then they could impact the housing sector as strongly as the original Boomers did back in ‘the day’.