It’s an undeniable fact. America’s population is aging — and fast. According to the U.S. Census Bureau, more than 20 percent of the U.S. population is expected to be over age 65 in 2030 compared with just 13 percent in 2010 and 9.8 percent in 1970.
That’s an exponential change, and one that has the potential to seriously impact overall housing trends. With more seniors in search of housing, it stands to reason that anticipated demand will outstrip supply.
Smart real estate investors will position themselves to make the most of this trend. Why not be one of them? But before you purchase a property targeting seniors, there are a few factors to consider— unique to the 55+ crowd.
Location Sells
It’s safe to say that location is a critical factor in any real estate transaction. Senior-centric housing is no different. But while younger home buyers are looking for good schools and commuter options, older buyers have other priorities. So, as an investor, you’ll need to consider the property’s proximity to restaurants, shopping options, and high-quality medical care. And don’t overlook the weather! Warmer climes have always been in high demand among seniors. Niche has put together a list of the top 2019 retirement destinations in the U.S. and many of them boast warm weather and sunshine.
Amenities Matter
They may come for the sun but stay for the fun! Senior buyers spend a lot of time within their community and want lots of options to occupy their time. So take a close look at the available amenities surrounding the investment property such as a pool, clubhouse, and an organized activities schedule. Most seniors also don’t want to spend their days mowing the grass or picking weeds or may be physically unable to do so. In the case of older buyers, a dedicated landscaping service is always a plus.
Design For Accessibility
So you’ve found a fixer upper in a warm locale with amenities galore. Congratulations! Now it’s time to roll up your sleeves and get to work. When planning out your rehab, you will want to keep in mind your target audience. For instance, a main floor master is often at the top of the list for aging homebuyers. Limited mobility is a fact of life among the older population, in many cases. So when choosing fixtures and appliances, make sure they are easily accessible and usable. That may mean levers instead of knobs for door hardware, reinforced bathroom walls for safety bars, and reachable electrical switches. Wider hallways to accommodate wheelchairs and scooters are also a wise choice. Of course, the first thing we recommend when planning your repairs is to put together a detailed Scope of Work (ideally with help from an experienced, licensed contractor). To make this task a little easier, we have created a downloadable template to get you started.
Set Up Financing
Here at Navigator Private Capital, we have loads of experience financing all types of housing—from single-family condos all the way up to multi-family apartment buildings. No matter what the age of your target buyer, we can customize a loan package that meets your deal’s specific needs. Let us show you how. Reach out to us at info@gonavcap.com or 443.603.1093 today!