By the Gonzales Group
RISMEDIA, Nov. 22, 2008-The massive influx of immigrants over the past 30 years has prompted an anxiety over changes to the nation’s ethnic, social, and economic identity. Even more significant is the demographic change about to occur as the first wave of the baby boom generation retires, slowly draining the workforce and straining the federal budget to the breaking point.
In his book, Immigrants and Boomers, author and noted demographer Dowell Myers describes how each of these two powerful demographic influencers may hold the keys to resolving the problems presented by the other.
Myers points out that during the demographic transition, the new prospect of diminished skills in the future workforce and a reduced middle class could undermine the continued growth in home prices. Retirees will transition from being net taxpayers to net recipients of health and pension benefits, and they will be supported by a smaller workforce that is struggling to meet its own needs. Seniors are also net home sellers and Myers believes there will be 67% more people in the selling age relative to the younger adults who are likely to be buyers.
What does this mean to real estate professionals?
Myers and other demographers believe that immigration can help to supply some of the workers needed to support the rising number of seniors and to replace them in the labor force as they retire and can help compensate for the smaller number of younger adults who are likely to buy homes from the increasing number of older Americans. New arrivals alone can offset about one-quarter of the increase in the senior ratio, which coincidentally means today’s home buyer.
One thing is certain…the home buying landscape is changing and if you are going to capitalize on it, you need to adjust your business plans and marketing approaches to accommodate the new consumer.
At the Gonzales Group we provide the multi-dimensional business development discipline to help you develop and execute an effective multicultural strategy that will help build profitable connections with the multicultural consumer.
For more information, visit www.thegonzalesgroup.com.
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