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For homeowners who sell their house later in life, that timing may come with a cost, new research suggests.
Once sellers reach about age 70, they start getting lower sale prices for their houses compared with younger homeowners, according to a January research brief published by the Center for Retirement Research at Boston College.
Compared to sellers in their 40s and 50s, an 80-year-old homeowner gets a 5% lower price for a house held for about 11 years, according to the study. On a typical home price of $405,400 — the national median sale price in December, according to the National Association of Realtors — this amounts to a loss of $20,270. This gap continues growing as homeowners age.
It’s a scenario that more home sellers may be poised to encounter.
As of 2024, there were 65 million baby boomers — those born 1946 through 1964 and in their 60s and 70s now — accounting for 20% of the U.S. population and 36% of total homeowner households, according to Freddie Mac.
Those older homeowners are largely staying put, which at least partly contributes to the lack of housing availability and elevated prices in the current market — although those factors are starting to ease. About 68% of baby boomer homeowners say they will likely age in place, according to a 2024 report from Freddie Mac.
Why older sellers may see lower returns
Part of the disparity in returns is tied to home maintenance: Homes sold by older owners are more likely to show signs of deferred upkeep or fewer upgrades, according to the research. That can weigh on sale prices even after accounting for location and market conditions.
Additionally, the research indicates that older homeowners are more likely to sell through private, off-market listings — deals that never appear on the public Multiple Listing Service, or MLS, where most buyers search via online real estate sites. Those sales limit competition and are more likely to involve investors, which is associated with lower sale prices, according to the CRR briefing.
The study linked housing transactions in CoreLogic’s database, which includes details like sale date, price and deed type, to voter registration records — which are limited to U.S. citizens and primary residences — to establish the sellers’ ages. Researchers also conducted a repeat-sale analysis to compare sales of the same home over time, using data spanning from 1998 to 2022.
Median home equity for age 65-plus is $250k
For many homeowners, their house will be one of their largest assets as they head into retirement. In 2022, median home equity for homeowners age 65 and over was $250,000, up 47% from $170,000 in 2019, according to a 2023 report from the Joint Center for Housing Studies at Harvard University. That amount represents roughly 50% of the median wealth among households for 65-year-olds or older.
As Americans stay healthier and live longer, more are selling their homes later in life, said Jessica Lautz, deputy chief economist and vice president of research for the National Association of Realtors.
“We’re seeing that [sellers] are making transactions at later ages than they used to,” Lautz said.
In the 70-to-78 age group, 38% of homeowners have lived in their house for 21 years or more, according to the NAR’s 2025 Home Buyers and Sellers Generational Trends report. In the 79-to-99 age group, that share is 44%.
Also in that latter age group are 15% who sold their house for less than 90% of the listing price — the largest share of any age group, according to the report. At the same time, however, they are also the least likely age group to offer incentives to buyers — e.g., home warranties, assistance with closing costs, etc. —Lautz said.
Planning ahead is key to maximize home’s value
Experts say that it’s important for retirees and near-retirees to be aware of those pricing trends, especially if they are counting on their home’s value as part of their retirement plan.
“From what we see working with older homeowners, lower sale prices usually come from deferred maintenance and last-minute decisions [that are] often driven by tight cash flow in retirement,” said Joon Um, a certified financial planner with Secure Tax & Accounting in Beverly Hills, California.
“Small fixes get delayed, then buyers notice everything at once and price it in,” Um said.
Planning ahead can make a big difference, he said. Things like “setting aside some cash for upkeep, decluttering over time, and tying the home sale into a broader retirement and cash plan can help avoid selling under pressure,” Um said.
Small fixes get delayed, then buyers notice everything at once and price it in.
Joon Um
Certified financial planner with Secure Tax & Accounting
It’s also worth adult children, neighbors or other family members keeping an eye on the upkeep of an older loved one’s home.
“To the extent that you have a relationship with an older person, protect their interests and make sure they’re taking care of their house,” said Philip Strahan, coauthor of the Center for Retirement Research report.
As for the actual sales process, be sure you fully understand your options for selling and how your choices can impact the price you get.
“When older people interact with the [real estate] brokerage community, maybe they should consult with adult children, someone they trust to help them,” Strahan said.
At the same time, there may be reasons that the lower sales price is a trade-off the homeowner is willing to make. For example, Strahan said, some may not want others going in and out of their house, so a private sale is preferable, even if it means a lower price.
Or, perhaps an expensive maintenance project goes unfixed prior to the sale in exchange for the discounted price, said Lautz, of the real estate agents’ group.
Either way, the key is to have a plan in place so you can maximize the value of your home as part of your retirement plan, experts say.
It is “a big retirement asset, not just a place to live,” Um said. “Managing it proactively can protect both value and cash flow.”
