The Daily Stat from Harvard Business Review

 

February 9, 2015 Demographic Changes Signal Trouble in the Housing Market In the next 40 years, the ratio of elderly to working-age people will nearly double in developed economies. Because the elderly are much less likely than the young to purchase homes, this will lead to a decline in house-price growth by around 8 tenths of a percentage point per year, according to an analysis by Elöd Takáts of the Bank for International Settlements in Switzerland. But because of unknowns such as the effect of economic growth, this won’t necessarily lead to an absolute decline in home prices, Takáts says. SOURCE: Aging and House Prices

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