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Home Sellers Over 70 Often Receive Lower Prices—Why It Matters for Retirement Planning
For many Americans, especially retirees and those nearing retirement, a home represents one of their largest assets and a key source of wealth to fund later years.
New research highlights a potential downside for older sellers: starting around age 70, homeowners tend to receive lower sale prices compared to younger sellers, with the discount growing as age increases.
According to a January 2026 issue brief from the Center for Retirement Research at Boston College titled "Why Do Older People Get Lower Returns on Their Homes?" (authored by Philip E. Strahan and Song Zhang), the decline in returns begins at age 70 and accelerates thereafter. An 80-year-old seller, for example, typically gets about 5% less than sellers in their 40s or 50s for a home held roughly 11 years—equating to a $20,270 shortfall on the national median sale price of $405,400 (per the National Association of Realtors' December 2025 data).
Key Points
Homes are a major retirement asset, with median home equity for homeowners age 65+ at $250,000 in 2022 (up 47% from $170,000 in 2019, according to the Joint Center for Housing Studies at Harvard University)—representing about 50% of median wealth for this group.
The pricing gap widens with age, potentially reducing proceeds significantly when liquidating this asset for retirement needs like living expenses, healthcare, or long-term care.
Baby boomers (now mostly in their 60s and 70s) make up a large share of homeowners, with many planning to age in place—but those who sell later may face this disadvantage.
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Why Older Sellers Get Less
The study, which linked home sales data to seller ages via voter records and analyzed transactions from 1998 to 2022, identifies two main factors even after controlling for location, market conditions, and property traits:
Deferred maintenance and fewer upgrades — Older-owned homes often show signs of postponed upkeep, which buyers factor into lower offers.
Private or off-market sales — Older sellers more frequently use non-MLS listings (not appearing on public platforms like Zillow or Realtor.com), reducing buyer competition and often involving investors who pay less.
Additional insights from the National Association of Realtors' 2025 Home Buyers and Sellers Generational Trends report show that in the 79–99 age group, 15% sold for less than 90% of listing price (the highest share across ages), and this group is least likely to offer buyer incentives like closing cost help or warranties.
Implications for Retirement
As life expectancies rise and more people sell homes later in life, this trend could impact retirement security. Home equity often funds downsizing, supplementing income, or covering costs in retirement. A lower sale price means less cash flow for essentials or unexpected expenses.
Experts emphasize proactive planning:
Maintain the home regularly to avoid deferred repairs that accumulate and deter buyers.
Declutter gradually and prepare the property for market appeal.
Consider involving trusted family, advisors, or adult children in the sales process to explore full-market options (e.g., listing publicly) rather than rushed private deals.
Tie home sale decisions into a broader retirement strategy, including cash flow needs and alternatives like reverse mortgages or renting.
While some older sellers may prefer private sales for privacy or convenience—even at a cost—awareness of the trend allows better choices. As CFP Joon Um notes, small delayed fixes can lead to big price reductions once noticed by buyers.
Planning ahead treats the home as a strategic retirement asset, not just a residence, to protect value and support financial stability in later years.
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