Baby boomers are a dominant force in our local housing market .... but with a weak economy... Many older couples are facing the tough question of whether to downsize. 23 News Economic Reporter Kristin Burke looks at how this wealthy generation could make or break the housing market.

"Do we stay where we are and live out our lives or do we look at perhaps downsizing."

A question Rockford residents Don and Kathy Di Giovanni asked themselves several times before making the move.

"We were in a very large house and were basically part time residents and we go down to Florida and our house sat empty for 6 months and we felt it was time to do something."

The retired empty nesters traded down to this east side Rockford home several months ago...and are enjoying the lower maintenance and insurance costs... Boomers represent a large number of buyers in our area... but local real estate expert Steve Bois says the economic crisis has likely diminished some of the generations wealth .

" I think people are thinking about downsizing they are planning ahead at this point... 401 ks are not where they used to be."

This sell-off could create a hurdle for the housing market... As older adults unload their high priced homes to a smaller less advantaged generation.. with potentially less buying power.

" We really have to see how that's going to balance because well have the baby boomers selling and the next generation looking at those properties are we going to be able to match those two that's an interesting question."

This means property demand in the future could once again hinge on the boomers.. unless there are enough young people to pick up the slack where the boomers left off.

"It is a large segment of our population so it will have a large long term impact on us."

In Rockford Kristin Burke 23 news right now.