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About a third of Baby Boomers plan to sell their home to fund their retirement, according to a study that questions whether buyers will dry up as that massive segment of the population downsizes.

Bank of Montreal is warning Boomers not to count on that nest egg, while other observers suggest that even if prices don’t plunge, big increases in property values are a thing of the past.

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“They shouldn’t be relying on their homes because there are risks,” says Marlena Pospiech, a retirement strategist at the BMO Retirement Institute.

The bank suggests the following risky scenario: As Canada’s population ages, more Boomers will be retiring and selling their homes, putting downward pressure on prices.

[Boomers] could be in serious financial trouble if they are relying on their home, especially if they are highly leveraged

BMO also says tighter lending standards and higher interest rates could reduce the number of eligible homebuyers and push people into smaller and less expensive homes.

The bank’s survey suggests 34% of homeowners are unsure if they will sell their home before retirement. The concern seems to be that 40% of respondents say they are not confident in their ability to save for retirement and 41% say they might just end up using their homes to shore up any shortfall in their golden years.