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Baby boomers carry the third-highest mortgage debt of any generation, but that debt is growing more slowly than any other age group. These consumers hold an average mortgage balance of $175,865, according to Experian data from the second quarter (Q2) of 2019.
That's 2% less than baby boomers held in Q2 2012. It's also notably lower than the national average, which in Q2 2019 was $203,296.
As part of a larger ongoing review of mortgage debt in the U.S., Experian analyzed consumer credit data from Q2 2019 to find out how baby boomers compare with others when it comes to home loans. Read on for our insights and analysis.
Baby Boomers Carry the Third-Highest Mortgage Debt
Of all generations of adult consumers in the U.S., baby boomers—people between ages 55 and 73—were right in the middle in average mortgage balances in Q2 2019, according to Experian data. Their balances are 13% lower than the national average and 26% less than members of Generation X, who carried the highest individual mortgage debt in Q2 2019.
*Source: Experian
Mortgage Debt Growing Slower Among Boomers
Baby boomer mortgage debt is growing at a slower pace than that of any other generation. In fact, since Q2 2018, baby boomers' average mortgage balance only changed by a fraction of a percent, increasing by 0.27%, from $174,399 to $175,865.
When looking at mortgage balances over the past seven years, baby boomers were the only group that saw mortgage debt decrease. Since the second quarter of 2012, baby boomers' average mortgage balances shrank by 2%, while nearly all generations (Generation Z was not counted in this analysis due to their age) saw their balances grow, according to Experian data.
Baby Boomer Average Mortgage Debt Highest in Washington, D.C.
Members of the baby boomer generation hold the most mortgage debt in Washington, D.C., carrying an average home loan balance of $356,256 in Q2 2019. While that figure is 75% higher than the national mortgage debt average, it is 15% lower than the average among all generations in the District of Columbia, which was $416,848 in Q2 2019.
Washington, D.C., was followed by California, Hawaii, Colorado and Maryland, which together make up the top five states where baby boomers carry the highest mortgage debt.
| States With the Highest Average Baby Boomer Mortgage Debt | |||
|---|---|---|---|
| State | Average FICO® Score | Average Mortgage Debt Q2 2019 | Difference From National Average |
| Washington, D.C. | 706 | $356,256 | +75% |
| California | 735 | $328,775 | +62% |
| Hawaii | 748 | $316,366 | +56% |
| Colorado | 750 | $220,153 | +8% |
| Maryland | 730 | $219,594 | +8% |
*Source: Experian data from Q2 2019. Data is specific to baby boomer debt and credit.
West Virginia Baby Boomers Carry Lowest Average Mortgage Debt
Baby boomers in West Virginia carry the lowest average mortgage debt of any other state, with an average mortgage balance of $92,034, according to Experian data from Q2 2019. That's 55% less than the national average and 15% less than the average mortgage balance across all generations in West Virginia.
In all of the five states with the lowest balances—West Virginia, Indiana, Mississippi, Puerto Rico and Ohio—baby boomer average mortgage debt is consistently at least 50% lower than the national average across all generations.
| States With the Lowest Average Baby Boomer Mortgage Debt | |||
|---|---|---|---|
| State | Average FICO® Score | Average Mortgage Debt Q2 2019 | Difference From National Average |
| West Virginia | 719 | $92,034 | -55% |
| Indiana | 732 | $97,496 | -52% |
| Mississippi | 699 | $100,410 | -51% |
| Puerto Rico | 714 | $101,112 | -50% |
| Ohio | 736 | $101,967 | -50% |
*Source: Experian data from Q2 2019. Data is specific to baby boomer debt and credit.
Mortgage Debt One of Few Baby Boomer Balances Seeing Significant Slowing
Though baby boomers have higher debt balances when compared with other generations—including average debt on student loans, auto debt, credit cards and personal loans—in the past year, the growth of much of their debt has slowed or even decreased. With the exception of student loan debt and mortgage balances, overall, certain baby boomer debts have only crept up (in most cases by less than .5%) since Q2 2018, while other generations have seen considerable growth in similar areas. In addition to decreases in baby boomers' total average debt, the generation saw reductions in the average balances of home equity lines of credit (HELOCs) and a small drop in the average amount they owed in personal loans.
Methodology: The analysis results provided are based on an Experian-created statistically relevant aggregate sampling of our consumer credit database that may include use of the FICO® Score 8 version. Different sampling parameters may generate different findings compared with other similar analysis. Analyzed credit data did not contain personal identification information. Metro areas group counties and cities into specific geographic areas for population censuses and compilations of related statistical data.
FICO® is a registered trademark of Fair Isaac Corporation in the U.S. and other countries.