Metes & Bounds Title, a Division of Land Castle Title Group, LLC keeps our clients equipped with proper industry knowledge for their success. As we enter the new year, we’re reflecting on what 2021 brought to the table, specifically for the 55+ market. Please continue reading below to see the Florida real estate market update for the 55+ community. The demand in this demographic overcame another challenging year and holds potential in 2022.
Going Through Changes
Changes due to Covid-19 reinforced health and wellness for the senior community. Now coming out above the depths of the pandemic, the residential housing industry is looking for ways to integrate a comprehensive health and wellness structure into community living. As a result, senior housing communities are being designed to focus on what helps people thrive physically, mentally, and socially in their communities. In addition, as the baby boomer generation ages, some seek a higher level of assistance but still want to maintain their independence. One popular example is active adult housing, which is purpose-built multi-family housing for the younger senior age group. It has a heavier emphasis on community space and activities makes for a desirable accommodation with a positive impact.
There has been a recent increase in demand for senior rental living. Varying studies have shown a standard 28% increase in renters older than age 55. We suspect two reasons older adults choose rental living arrangements are affordability and freedom. Most baby boomers seek to keep limited assets liquid. There may be a preference for the financial flexibility of a rental community and the privilege of having zero ties to a long-term commitment to property ownership and maintenance. This trend also indicates that the number of people over the age of 55 selling their long-term homes also increased.
The 2022 Horizon
This year brings expectancies for new multi-family projects that will result in a rental or condominium structure. Senior living teams take advantage of securing urban real estate after the disruptions the hotel and office sectors have faced. In Florida, there are many instances where former commercial space is repurposed to accommodate residential space.
On the other hand, single-family 55+ community projects will focus on the small-home trend to factor in affordable environments. These are more desirable to the aging community as their income becomes more restrictive. We can look forward to seeing exciting developments such as modular or prefabricated “tiny houses” or residencies arranged in “pocket neighborhoods.”
Florida Real Estate Market Update
The 55+ market will continue being the fastest-growing age group in Florida. The growth charts predict an average of 4% growth per year through 2040. Out of the 4%, figures show the 55+ community will make up almost 40% of the state’s growth through 2040. The rapid growth rate in our area confirms that multi-family and smaller structures, as design trends indicate, will likely increase to meet sheer demand.
The Metes & Bounds Title, a Division of Land Castle Title Group, LLC team strives to create a positive and memorable experience for all parties, no matter the season of life. Metes & Bounds Title, a Division of Land Castle Title Group, LLC is the foundation of success for all real estate transactions. If you’re ready to partner with a title team that puts you as their priority, contact us today!