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I think it is even simpler than that. According to wiki, life expectancy in USA is roughly 80 years. If the children are had at roughly 25-30 years, by the time

I think it is even simpler than that. According to wiki, life expectancy in USA is roughly 80 years. If the children are had at roughly 25-30 years, by the time property is inherited, children are 50-55 - age when they are expected to have grown their own children, not the best age to start a family. Under the same assumptions, grandchildren are 20-30, therefore at a good age to inherit the property. Yet, if we factor in fertility rate of 1.8, that's 3.25 grandchildren on average or 30% stake at the inheritance. More like mortgage deposit, rather than a place to live. For an average person it is not reasonable to expect to inherit a property during age of settling down when that is most needed.

nostrademons 8y ago
Your fertility rate math is off - it might be 3.25 grandchildren/grandparent, but each grandchild has 4 grandparents (barring edge-cases like incest or remarriage). If you account for property typically being owned by couples, it's only 2 grandcouples, but this is offset by your spouse having 2 grandcouples as well. As long as fertility rate < 2, wealth actually accumulates during inheritance. Your comment about timing is right-on though: most couples are expected to have the house & kid before the grandparents die.