The Economy’s Impact on Senior Housing Trends

The United States Census Bureau has reported thatrecession as the U.S. Census Bureau has also released
a third of the country’s population will be 50that the number of parents, siblings and other
years or older by the year 2010. Accordingly, a 2009relatives living with the heads of households grew
study conducted jointly by the National Association42% from the year 2000 to 2007.
of Home Builders (NAHB) and the MetLife MatureThe housing industry is also taking note of how
Market Institute (MMI) revealed that the Babyseniors are rapidly embracing technology and the
Boomer generation alone will represent 25% of theinternet when seeking housing options. A recent
United States population by 2010. With seniorssurvey conducted by the Internet Home Alliance
representing such an astonishingly larger segment ofResearch Council revealed that 63% of seniors have
the housing market, it is important to assess howhome offices in their new homes, while an amazing
recent economic conditions are impacting senior70% have broadband internet access at home.
lifestyles and their housing needs.Further, a survey conducted by International
As unemployment figures have continued to increaseDemographics revealed that 47% of those over 50
in this recessionary economic climate, many seniorsyears-old utilize the internet on a regular basis, and
are facing layoffs or reduced hours. Seniors who70% of those between 50 and 64 years-old are
have lost their jobs often run a higher risk ofactively online. Finally, a study by Charles Schwab
foreclosure as their prospects in the job market areshowed that 13 million U.S. adults over 50 years of
more challenging today as more applicants competeage have internet access, and this number is growing
for fewer positions. In another 2009 study conductedrapidly. This figure amazingly represents 16.5% of the
by United Sample and Golden Gateway Financial,total online population of the United States.
more than 50% of seniors polled said their net worthThis significant increase in the utilization of the
had decreased by 10% to 30% over the past year.internet has provided seniors with the means to be
Consequently, it should come as no surprise thatmore thorough and selective in researching housing
50% of this study’s respondents said they areoptions. As a result, senior housing providers are now
concerned that their overall net worth may no longerconcentrating their marketing efforts on the internet
be enough to sustain their retirement and they nowto attract this steadily increasing demographic. So
plan to retire after the age of seventy.despite the obstacles that recent economic conditions
As a means of coping with this fiscal predicament,have created, seniors are quickly adapting to the
many seniors have opted to move in with othertimes by cutting costs and becoming more
members of their families to share living expenses.technologically savvy. Since these trends are showing
Intergenerational households also reap the benefit ofno signs of slowing, the housing industry must
avoiding the cost of residential care facilities bycontinue to quickly adjust to meet the needs of this
providing care and support for senior family memberstremendous segment of the nation’s population.
at home. In fact, this trend may even pre-date the