Boomers "Golden Girl" Their Way Through Retirement As Rising Costs Crush The Old Playbook

Faced with rising costs, shaky retirement portfolios, and dwindling confidence in Social Security, a growing number of baby boomers are embracing what's being dubbed "Golden Girling": teaming up with roommates to share housing costs and stretch their savings.

It's a throwback to the setup made famous by Dorothy, Blanche, Rose and Sophia. Only now, it’s less about friendship and more about survival.

Downsizing Doesn’t Always Cut It Anymore

For decades, downsizing was a standard retirement move. Sell the family home, pocket the equity and buy something smaller to lower housing costs. But that playbook is falling apart in today's market.

U.S. home prices have surged 60% since 2019, according to Harvard's Joint Center for Housing Studies, and mortgage rates remain stuck above 6.7%. Many long‑time owners now hold sub‑3% loans. Trading that for today's rates can push payments higher even on a smaller place. In some markets the downsized home actually costs more than the one being sold.

That's causing retirees to rethink the math. Instead of relocating, some are staying put and renting out a spare bedroom. Others are opting to move in with fellow seniors to split expenses. 

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Roommates In Retirement

Roommate‑matching site SpareRoom says homeowners taking in roommates jumped 167% between January 2021 and January 2024, with boomers and older Gen Xers the fastest‑growing slice. Senior‑focused platforms like HomeShare Online also report steady growth as older hosts look to swap empty bedrooms for monthly rent and help with chores. 

Beyond the cash, shared living can ease loneliness and lighten household workloads. Still, money drives the movement. Median two‑bedroom rents hit $1,900 in July 2025, according to Zillow, so even half a payment can shore up a thin budget.

Two-Thirds Of Baby Boomers Unprepared

Between 2024 and 2030, 30.4 million Americans will turn 65. Dubbed the "Peak Boomers," this cohort is the largest, and last, wave of the Baby Boomer generation. But according to a report by the Alliance for Lifetime Income (ALI), nearly two-thirds of them are not financially prepared to retire.

Over half have $250,000 or less in assets. That's not nothing, but it's not nearly enough to cover two decades or more of living expenses, especially when Social Security was only designed to replace about 40% of pre-retirement income. Another 15% have less than $500,000, still likely to come up short.

The issue isn't always a lack of planning. Many did save. But inflation, rising healthcare costs, and housing price shocks moved the goalposts. 

Check out: Take this 6-question Retirement Booster Quiz to get matched with investment ideas that could help stretch your savings and grow your portfolio.

Rethinking The Portfolio

The "Golden Girls life" isn't for everyone, so many Americans are adjusting their investment strategies to give their retirement fund a boost. 

Assets like real estate and private credit funds are getting new attention from individual investors. One example is the U.S. Home Equity Fund. This private real estate fund is targeting a 14%-17% net internal rate of return by investing in Home Equity Agreements (HEAs). These agreements give homeowners upfront cash in exchange for a share of their home's future value, providing investors with real estate exposure without the costs or risks of being a landlord.

The fund's strategy also provides significant downside protection in case of a market downturn, so investors don't get the rug pulled out from under them when it matters the most. 

Living Longer, Spending More Carefully

Even those already retired are making moves. Roughly 41% of retirees surveyed by ALI said they're actively looking for ways to spend less. About 11% are seeking part-time work to supplement income and nearly half report feeling anxious about spending at all.

As more Americans enter retirement without the pensions that supported earlier generations, strategies like Golden Girling and diversifying retirement investments are likely to become more common, and more necessary.

"The Golden Girls" may have made communal living look fun, but for today's boomers, it might be the key to staying afloat.

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