UVA Study Says Housing Crash Result of Demographic Changes
A recent UVA study says demographics, not the economy is the reason for the collapse of the housing market, and as Charles Fishburne reports, it means the market may never be the same.
The report says people over 55 are driving the market.
Lucy: Characteristics of the population have changed; back in 1945, 1950, 1960, half of the households had children at home, and now we're down to one-third and heading down to one-quarter.
William Lucy is a UVA urban and environmental planning professor.
Lucy: The number of households 55 and over and 65 and over has gone up a lot.
He says the over-55 group wants to get rid of their big homes in the suburbs and find smaller, more convenient homes closer in, while younger buyers are thinking the same thing.
Lucy: Convenience. The more that you can walk to or that you have the option of using mass transit for, the better.
Lucy says the trend of building houses in the suburbs that began after World War Two will be reversed and fix-up, remodeling and condos in the inner city and near suburbs will be the economic drivers of tomorrow’s housing markets.
Charles Fishburne, WCVE News
Anchor Tag: Lucy is the author of "Foreclosing the Dream: How America's Housing Crisis is Reshaping Our Cities and Suburbs."