For baby boomers, home is turning out to be more than just where the heart is. It’s where the kids are — and seem to have no immediate plans to vacate.

Some 17 per cent of Canadian baby boomers are delaying plans to downsize because they need the space to accommodate adult children, says TD Canada Trust’s 2011 Boomer Buyers Report.

That number is closer to 22 per cent in British Columbia where Vancouver’s hot housing market has pushed the price of even tiny condos into the stratosphere and made living at home the only viable option for young people.

But don’t assume all those kids are still living at home because they are forced to, notes Peter Drake, vice president of retirement and economic research for Fidelity Investments Canada, adding that many boomers value the importance of higher education for this generation.


“Boomers tend to think of consumption in very broad terms,” says Drake, whose two grown children lived at home while working on doctorate degrees.

Almost 40 per cent of boomers who plan to retire in the next three years still have a mortgage on their home and 35 per cent say their living expenses are so high, they are unlikely to pay it off before they stop working.

“There was a time when having debt in retirement used to be a big no-no. But baby boomers have always set their own standards and had big aspirations.”

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