As the baby boomer generation ages, the seniors housing market will become increasingly important in America, experts say.
The number of Americans who were over the age of 65 increased by about five million people from 2000 to 2010, according to a Bipartisan Policy Center report. Meanwhile, about 14.2 million more baby boomers will become seniors by 2020, according to the report.
As the economy improves and many down-sizing baby boomers begin to sell their homes, the need for more units will continue to grow. This momentum will lead to more investors finding additional interest in the market, according to a Marcus & Millichap report focused on senior housing.
The report estimates that 11,600 units of independent living are under construction this year. This number is well-above the 3,000 independent-living units added to the nation’s stock last year. Meanwhile, the report also says there are about 18,900 units of assisted living and 6,800 skilled nursing units under construction this year.
Florida, Texas and Ohio lead the charge in where senior units are being built. Here's the rest of the states with the highest number of senior housing units under construction:
Source: Marcus & Millichap