Whilst by no means a statistically fullproof survey I was interested to read of 2 recent online surveys undertaken by the GrownUps.co.nz website – specifically targeting the demographic of the over 50’s – the baby boomer generation.
The first survey was undertaken in late June and asked the question “Are you considering buying or investing in property over the next 6 months?”
The results which provide an insight into the type of property that people are thinking of buying is most illuminating in that 75% stated that they are not considering buying or investing in property over the next 6 months – which by inference means that 25% – a full quarter of the 426 who took part in the survey are considering buying.
I found that very interesting set against the past 12 months of concern over property investing and the uncertainty of the property market especially within this baby boomer generation who by all accounts were disproportionately impacted by the finance company fallout.
Additionally the figure of 25% allowing for margin of error which in this same could be up to 8% would still mean 1 in 8 of this segment could be interested in property buying – far above the national average of 1 in 20. Consideration needs to be given to the fact that the survey was undertaken on a website which may be more representative of a higher socio-economic group.
The second survey undertaken by GrownUps just this week is also illuminating as it went on to seek response to the question “What are you most likely to invest in during the next 6 months?”
Most telling is the nearly a third of the 480 participants that state that “doing nothing” is their prefered action in regard to investing – not altogether surprising given the recent and current financial climate.
A quarter felt the bank safe deposit environment was the best option, as with 16% who felt that paying off debt was the best form of investment.
However a not insignificant 6% stated that their intention was property investment – that would equate to 1 in 17 of this every growing sector of the population. Again as against the current proportion of homeowners currently in the market based on current sales, if this representation of baby boomers were to go through with their intentions expressed in the survey it could have a part to play in the property market in the coming 6 months.
Clearly these surveys are a snapshot in time and provide no trend analysis to show movement as compared to prior year, but can be useful in observing the intentions and views of this influenctial proportion of the population.