Today is Mother’s Day and we should be showering our mums with gifts and love. But are millennials about to get the ultimate gift from mum and dad?
Research into recently drafted wills suggests that many millennials may inherit fully paid-off properties from older generations. An analysis of thousands of wills made last year, conducted by Farewill, reveals that nearly half of baby boomers, born between 1946 and 1964, intend to leave a home in their will. Interestingly, two-thirds of these properties are already mortgage-free.
Conversely, only a third of the pre-war generation, born before 1945, have properties to bequeath. However, a significant portion of them—90 percent—own their homes outright.
For millennials, this inheritance could be a substantial boon, as highlighted by Farewill. While 45 percent of millennials included a property in their will last year, only 13 percent owned one outright.
Homeownership is most prevalent among Generation X, born from 1965 to 1980, but many of them are still burdened with mortgages. Despite the financial challenges faced by many, property remains a popular asset to bequeath.
Dan Garrett, the CEO of Farewill, emphasises the generosity of baby boomers in leaving properties to their heirs. He notes that this gesture could significantly impact millennials, who often struggle with homeownership due to financial constraints.
Garrett also suggests that analysing wills underscores the differences in property ownership between generations and highlights the potential for wills to address some aspects of the housing affordability crisis and socio-economic shifts.
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