Global demographics dictate that the largest market in the next twenty years will be for the baby-boomers who will be retiring. In the UK/Europe and USA these citizens are 42 to 58 years old now. The bulk of the wealth is in the middle classes, in the middle ages requiring middle market homes for retirement. These are not “retirement homes” per se, rather homes that are suitable for active 58 to say 75 year olds. They are likely to be in the hotter, drier and sunnier areas of a country, at the coast, near picturesque towns or in the centre of cities.

The bulk of a country’s retiring population is likely to stay in their base country with general migration south to sunnier climates, and/or to coastal areas. Very few retirees will leave their region because of the necessity to be close to family and friends, not least in case they get ill, but more immediately because they will want to spend much of their spare time socialising with family and friends.

So if you are looking for capital value increases in future, it might be best to try and capture part of this market, or at least expose yourself to part of it.

The full version of this article first appeared on Propertyinvesting.net