Empty-nest baby boomers own nearly twice as many homes with three or more bedrooms as millennial families do, according to a report from Redfin.
Baby boomers living in one- to two-adult households own 28 percent of three-bedroom-plus (“large”) homes and baby boomers with households of three adults or more own an additional 7 percent. The latter is likely made up of adult children living with their parents.
By comparison, millennials with children living at home own 16 percent of large homes. This is based on a Redfin analysis of U.S. Census data from 2024 that breaks down the share of three-bedroom-plus homes owned and occupied by each generation, by household type and size.
Millennials are the largest generation of parents in the U.S., but they own a relatively small share of family-sized housing for two primary reasons:
- There aren’t enough large homes on the market for the millennial families who need them, partly because in some parts of the country, there aren’t enough small, reasonably priced homes for older Americans to downsize into.
- Home prices and mortgage rates are high; in many parts of the U.S., families are priced out of the housing market.
More than one-quarter (28 percent) of millennials aren’t buying a home in the near future because mortgage rates are too high, the most commonly cited reason for not buying among people in that age group who are either renters or long-term homeowners unlikely to move soon, according to a November 2025 Redfin survey fielded by Ipsos.
Meanwhile, Gen Z parents—many of whom are just beginning to enter the housing market— own less than 1 percent of the nation’s large homes.
Many baby boomers have little financial incentive to move, often benefiting from low mortgage rates or fully paid-off homes. Nearly three in five (57.8 percent) baby-boomer homeowners have no mortgage; their home is fully paid off.
There are also social and lifestyle reasons to stay put: Baby boomers, in their 60s and 70s, may want to stay in the neighborhoods they’ve lived in for a long time, close to their friends, family, work and/or recreational activities.
“Younger buyers are looking to move into single-family homes in specific neighborhoods, those with a family-friendly vibe and highly rated schools,” Brenda Beiser, a Redfin Premier agent in Philadelphia, said in a release. “The problem is, younger families have a hard time finding those homes because the older people living in them can’t find anywhere they want to move to. I hear empty nesters say they want to downsize, but it’s hard to find move-in ready, small, one-story homes or condos in their price range — especially since many of them are living in a fully paid-off home. So, there’s a lack of movement that’s keeping both older and younger buyers where they are, even though the older ones want a smaller home and the younger ones want a bigger home.”
Redfin economists expect homebuying affordability to continue improving as the year goes on. That could allow some younger buyers to break into the market. Additionally, more large homes will come on the market as the mortgage-rate lock-in effect eases.
Redfin agents in some parts of the country say they’re starting to see more older homeowners downsize. A Redfin agent in Omaha, Neb. said some baby boomers are selling to younger families as they move into homes without stairs and without much maintenance. A Sacramento, Calif. Redfin agent said several older residents are selling the family home because they’re downsizing—though those listings are rare and competitive.
Redfin and Compass recently partnered on a phased marketing initiative that could motivate more homeowners to sell. Redfin economists estimate that housing inventory could increase by 6 percent to 12 percent annually in markets where home sellers are given the flexibility to test pricing strategies before formally listing.
Millennials with kids own less than 20 percent of large homes everywhere in the country. They own the biggest share of large homes, 19.2 percent, in Austin, Texas, and Columbus, Ohio. Minneapolis (18.9 percent) rounds out the top three.
Millennials with kids own the smallest share of large homes in Los Angeles, where they own 10.5 percent of them. It’s followed by Miami (12.5 percent) and San Jose, CA (13.1 percent).
On the flip side, empty-nest baby boomers own at least 20 percent of large homes everywhere in the country. They take up the biggest share of large homes in Memphis, Tenn., where they own 31.2 percent of the metro area’s three-bedroom-plus homes. It’s followed closely by Cleveland, where empty nesters own 30.9 percent of the metro’s large homes, and Pittsburgh (30.6 percent).
In Salt Lake City, empty nesters own one in five (20.1 percent) of the metro area’s large homes, the smallest share in the U.S. It’s followed by Riverside, Calif. (21.4 percent) and Austin, Texas (22 percent).