Seniors Continue to Turn to Multifamily

hamilton-zanze September 16, 2013

Throughout the country, seniors are selling their homes to move into multifamily housing facilities. As reported by CoStar, senior multifamily properties (including assisted living facilities) have reported a 35% annual increase in sales volume from $1.18 billion last year to $1.59 billion in 2013. Per-unit sales prices, meanwhile, have seen dramatic decreases, falling from $88,000 in 2011 to $58,000 currently.

So what does this all mean? Demand for senior housing facilities has seldom been higher, and investment companies are jumping on the trend. If multifamily demand in the 65+ demographic can keep up with growth forecasts, rent prices could rise as a result.