With the longevity revolution that started with the Silent Generation, those born between 1925 and 1942, the housing industry has had to react. With the first of the 78 million Baby-boomers born between 1946 and 1964 now turning 62 and qualifying for Social Security, even more attention is being placed on the aging population and its effect on the housing industry. One thing is certain - the effect will be dramatic. Home sizes, community types, floor plans and second or vacation home sales will all be affected.
Look at what the numbers say:
- In the next 7 years, the number of people 55+ will increase by 26%.
- Americans 55+ will head 40% of all the nation's households by 2012.
- By 2030 the number of Americans over 65 will double to 71 million.
- By 2010, 54% of our population will be over the age of 50, 96 million people.
- Every day 10,000 people in American turn 60.
As this years chairman of the Greater Kansas City Home Builders Asssociation's 50+ Housing Council, I am pleased to be a contributor to this new "50+ Housing" feature of The New Homes Journal. The Council's mission is "to provide members with relevant services, programs and information. This includes educational programs, industry research, networking, publications and articles, awards, and legislative support. The intent of this support is to enhance the capabilities of members about design development, financing, ownership, management, and sales and marketing of housing activities, projects, building, and remodeling specifically designed for boomers and beyond which will meet the evolving needs of the growing 50+ population." Hopefully, through this magazine feature we will be able to use what we learn to bring interesting and enlightening information about 50+ Housing to the readers of New Homes Journal.
Housing for the older population is big business. 75% of all the wealth in America is with people 55+ and more than 25% of the new homes built in America this year will be bought by someone older than 50. Home builders across the country are gearing up to handle the changing face of their markets brought on by these demographics. With the formation of the 50+ Housing Council, the Kansas City home builders are signaling their recognition of the changes that are occurring locally and their need to understand how to meet the needs of the mature buyer.
In the months and years ahead, we're going to be hearing more and more about:
- Age-qualified communities
- Active Adult communities
- Aging-in-Place
- Universal Design
- Easy or Active Living Design
- Visitablity
- Lifestyle Communities
We're no doubt going to see smaller home sizes as people downsize to simplify their lives. More people will be looking for communities that provide some form of maintenance as a part of their homes association. There will be a re-birth of the ranch style home and single-level living. Sweeping staircases are disappearing in favor of one-story homes. Master Bedrooms have moved to the first floor to make access less of a test for aching hips. Doorways are wider just in case accessibility becomes an issue someday.
Many people no longer want to retire to the desert or to the beach but would rather spend their retirement years near their families, medical professionals and other support systems. Active Adult retirement communities in Midwestern cities like Kansas City will be needed along with independent-living and assisted-living communities. In-home health care will become a bigger issue as every year passes. At this year's 50+ Housing Symposium in Denver, one speaker indicated that young women born since 1971 could look forward to taking care of their mothers longer than their mothers took care of them, a fact that is going to have a dramatic impact on those young women's lives and the housing issues they will deal with.
This aging population cannot be lumped into one group however. Within this group there are a wide spectrum of individuals, lifestyles and economics. Some older Baby Boomers still have small children at home while some of the younger Boomer's are already experiencing an empty nest. Many 50+ buyers will need to make affordability their primary consideration while others will be looking for their dream home for retirement with all the bells and whistles. The professionals in the homebuilding industry have a lot to consider as they try to determine how they are going to find their individual niche in the 50+ market and mature new home buyers will have new issues to consider and many more choices to pick from as they plan for their futures.
With the formation of LifeStyle Properties in 2004, Jim Albertson brought the experience and knowledge gleaned from his nearly 30-year real estate career as a top volume commercial real estate broker, corporate real estate executive and as a successful new home development, sales and marketing specialist. Albertson holds a real estate brokers license in Kansas and Missouri.
Albertson is heavily involved in the Active-Adult segment of the new home industry and currently serves as Chairman of the Home Builders Association of Greater Kansas City's (HBA) newly formed 50+ Housing Council. He was recently honored with the 2007 President's Membership Award for his commitment to the HBA and the HBA activities. In 2006, Albertson formed Lifestyle Homebuilders, a residential construction firm specializing in the Active Adult market. The firm utilizes Universal Design in the new homes that they build, He has earned his CAPS (Certified-Aging-in-Place Specialist) designation from the NAHB and he recently attended the Universal Design Conference presented by the Missouri Statewide Independent Living Council and is active with the Universal Design Housing Network. Jim is the first in the Kansas City to receive his CAASH (Certified Active Adult Senior Housing) Designation.
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