Have you ever wondered if the senior living market shifts like the real estate market?
We know that the real estate market goes through shifts from a buyer’s market to a seller’s market and back again. Does the senior living market do the same?
Unlike the real estate market, the senior living industry hasn’t been around that long. In fact, the first assisted living residences didn’t come along until 1981.
So, when it comes to predicting what will happen in the world of senior living, no one really knows for sure.
Here is what we do know, however.
- Some markets are overly saturated. Investors have decidedly gone all in – virtually all over the country.
- The pandemic changed everything. Costs increased and staffing shortages still plague many communities.
- Occupancy rates are low in many markets, so corporate investors will be buying out communities who can’t sustain the lower occupancy levels over time.
So, yes, the senior living industry shifts just like the housing industry.
There are high’s and low’s and much of this hinges on occupancy levels. Communities are considered healthy if they have 80% or higher occupancy and you know they are in real trouble if they get down to under 70% for any extended timeframe.
What does this mean for you as a CSHP?
It depends. If your business model includes the senior living platform, then it’s time to re-engage and find out what is going on in your area – that is if you have been out of the loop for a while. Senior communities often “don’t really need our help” when things are good, but when occupancy rates are low, they can use all the help they can get!
If you are a Certified Senior Downsizing Coach (CSDC), it’s part of your responsibility to be able to guide and consult clients who need assistance with understanding their living options, so you will want to stay current and surround yourself with people in the know.
Naturally, if you are not engaged in the senior living industry and have other niche markets that are unaffected by the shift in senior living, you may not need to do as much to stay current.
Lastly, if you have a move management component to your practice, it may be a good time to reach out to your senior living contacts and let them know you are there to help!
Learn more about the senior living community options, how to serve downsizing seniors and homeowners, and strategies for becoming the authority in your market regarding 55+ senior living options at www.seniorsrealestateinstitute.com