Myrtle Beach, SC, December 29, 2025
Myrtle Beach is witnessing significant changes in its housing market due to the rise of gray divorce, which impacts both supply and demand. With growing numbers of divorces among those aged 50 and older, there’s an increased need for diverse housing options, including smaller homes and rental units. This trend presents both challenges and opportunities for local businesses and entrepreneurs to cater to the evolving needs of an aging population. Understanding these dynamics is crucial for fostering sustainable economic growth in the community.
Myrtle Beach, SC
Gray Divorce Reshapes Housing: What Myrtle Beach Should Know
The evolving demographics of our nation are creating shifts in various sectors, none more pronounced than the housing market. A phenomenon often referred to as “gray divorce”—the dissolution of marriages among individuals aged 50 and older—is significantly reshaping residential trends nationwide. For a vibrant community like Myrtle Beach, understanding these shifts is key to fostering resilient local businesses and ensuring sustainable economic growth as our population ages.
This national trend presents both challenges and opportunities, influencing everything from housing inventory to the demand for specific types of homes and rental properties. As South Carolina entrepreneurs and Myrtle Beach small businesses continually innovate to meet community needs, an informed perspective on these demographic currents can lead to proactive solutions and reinforce our area’s economic vitality.
The Rise of Gray Divorce Nationally
The term “gray divorce” describes divorces occurring among individuals aged 50 and older. Nationally, this trend has seen a notable increase. Reports indicate that divorce rates for those over 50 have doubled, and rates for those over 65 have tripled since 1990. This demographic shift is often attributed to longer life expectancies, which contribute to individuals desiring a “longer third act” and seeking changes in their lives. This evolving social landscape creates a ripple effect, particularly within the housing market.
A Double-Edged Sword for Housing Inventory
The rise of gray divorce acts as a “double-edged sword” for housing supply, simultaneously unlocking new inventory and generating new demand. When older couples decide to separate, the marital home, often a substantial property acquired and consolidated over decades, frequently enters the market, adding to the overall inventory.
However, this process is not always straightforward. These homes tend to be large, can be outdated, and are often located in suburban areas, which may not sell quickly or easily. To avoid selling at a loss, many older adults may agree to keep the family home co-owned for a few years, leading to what are termed “separated under one roof” arrangements. Such situations can introduce legal complexities regarding property co-ownership after a divorce decree is finalized.
Shifting Demand: Smaller Homes and Rentals
One of the most significant impacts of gray divorce is the shift in housing demand. As couples separate, they often seek new, individual living arrangements. Analysis reveals an increased demand for smaller, more affordable condos, townhomes, and rental units. Approximately half of all U.S. adults who experience a gray divorce ultimately live alone. This drives demand for diverse housing options, including high-end active-adult rental communities.
Furthermore, older women affected by gray divorce sometimes seek shared housing and pooled solutions, opting to share a home with unrelated peers to address both financial insecurity and social isolation. Baby Boomers, frequently possessing substantial home equity, enter the market as serious buyers. This intensified competition for entry-level homes can exert upward pressure on prices across the housing market, affecting other demographics as well.
The Financial Realities of Late-Life Splits
The financial implications of a gray divorce can be substantial, particularly affecting personal achievement and financial stability. Nationally, women tend to experience a more significant decline in their standard of living following a gray divorce, with a reported 45% drop, compared to a 21% decline for men. Both men and women typically see a roughly 50% decrease in wealth. Property wealth is often the most significant financial asset for individuals over 50, and dividing this can be uniquely challenging for couples who have invested heavily in a single property for decades.
Reports indicate that about one in ten gray divorce couples finance their split using real estate wealth, either through the proceeds of a home sale or a home equity release product. The process of maintaining separate households after divorce can also place significant strain on retirement savings, impacting retirement planning, as well as Social Security and pension benefits. Careful financial planning and understanding these potential impacts are crucial for individuals navigating such a transition.
Myrtle Beach and the Evolving Housing Landscape
While the statistics on gray divorce are nationwide, their effects resonate in every community, including Myrtle Beach, SC. The local housing market, characterized by its appeal to retirees and those seeking coastal living, is particularly susceptible to demographic shifts. The increased demand for diverse housing options—from smaller, manageable homes to specialized rental communities—presents clear opportunities for Myrtle Beach small business owners and South Carolina entrepreneurs.
Entrepreneurs in the area can find innovative ways to address these needs, whether through developing new housing models, offering specialized property management services for those navigating asset division, or providing financial advisory services tailored to older adults. By embracing adaptable regulations that encourage the development of varied housing stock and supporting local businesses that cater to these evolving demands, Myrtle Beach can ensure its continued economic growth and maintain its reputation as a welcoming, vibrant place for all stages of life. This proactive approach underscores the resilience and forward-thinking spirit vital for sustained Midlands economic growth.
Conclusion
The national rise of gray divorce is undeniably reshaping the housing market, introducing new dynamics in both supply and demand. For Myrtle Beach, SC, recognizing these trends is not merely an observation but an opportunity for strategic economic planning. By fostering entrepreneurial innovation and supporting businesses that offer flexible housing solutions and financial guidance, our community can adapt to these demographic changes and continue to thrive. We encourage our readers to support local businesses that are actively contributing to the diverse housing needs of our evolving population and to stay engaged in Myrtle Beach’s economic future.
Frequently Asked Questions
What is gray divorce?
Gray divorce refers to the dissolution of marriages among individuals aged 50 and older.
How has the rate of gray divorce changed over time?
Nationally, divorce rates for those over 50 have doubled, and rates for those over 65 have tripled since 1990.
How does gray divorce impact housing inventory?
Gray divorce is a “double-edged sword” for housing supply, both unlocking inventory and creating new demand. When older couples split, the large marital home can become new inventory.
What kind of housing are gray divorcees typically seeking?
Divorcees often look for smaller, more affordable condos, townhomes, and rental units, with increased demand for high-end active-adult rental communities.
What are the financial implications of gray divorce for individuals?
Nationally, women experience a 45% decline in their standard of living, while men’s drops by 21%, and both women and men experience roughly a 50% drop in wealth.
How do older couples typically divide home equity during a gray divorce?
Common ways include selling the home and splitting the proceeds, one spouse buying out the other’s share, or a deferred sale arrangement where the home remains jointly owned for a period before being sold.
Key Features of Gray Divorce’s Impact on the Housing Market
| Feature | Description | Scope |
|---|---|---|
| Definition | Divorce among individuals aged 50 and older. | Nationwide |
| Rate Increase | Divorce rates for those over 50 have doubled, and for those over 65 have tripled since 1990. | Nationwide |
| Housing Inventory Impact | Acts as a “double-edged sword,” unlocking inventory (large marital homes) while creating new demand. | Nationwide |
| Demand Shift | Increased demand for smaller homes, condos, townhomes, and high-end active-adult rental communities. | Nationwide |
| Financial Impact on Women | 45% decline in standard of living. | Nationwide |
| Financial Impact on Men | 21% decline in standard of living. | Nationwide |
| Wealth Drop | Approximately 50% drop in wealth for both men and women. | Nationwide |
| Use of Home Equity | About one in ten gray divorce couples use real estate wealth to finance their split. | Nationwide |
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Author: STAFF HERE MYRTLE BEACH
The HERE Myrtle Beach Staff Writers are a collaborative team of journalists, editors, and local contributors passionate about delivering accurate, timely information to the Myrtle Beach community. As part of the HEREcity.com Network, which powers over 100 U.S. city sites including HEREcolumbia.com, our staff draws on collective experience in South Carolina journalism to cover everything from business sales and real estate developments to dining deals and community initiatives. Our Expertise and Background Local Roots in Myrtle Beach Our team includes lifelong Myrtle Beach residents and SC natives with deep knowledge of the area’s history, economy, and culture. We’ve covered key events like the recent developments along the Grand Strand, Myrtle Beach’s tourism and hospitality industry, and growth in local education sectors (e.g., Coastal Carolina University programs). Collective Experience With over 50 combined years in journalism, our staff has backgrounds in print, digital media, and community reporting. We prioritize fact-based stories, drawing from sources like the Myrtle Beach Area Chamber of Commerce, city government records, and on-the-ground interviews. Commitment to Quality Every article is a group effort, involving research, editing, and verification to ensure reliability. We adhere to journalistic standards, citing credible sources and updating content as new details emerge.
