Senior Living State of the Industry Report: 1st Half 2019
Senior living markets are shifting and you need to be prepared for the changes ahead. In the newly released Senior Living State of the Industry report by G5, we cover everything you need to know to be successful in 2019. From market trends to the emerging digital landscape, we provide you a comprehensive overview of where senior living is today, and where it is headed tomorrow.
Key Takeaways: Market Trends
We reviewed reports from Yardi Matrix, the National Bureau of Economic Research, and Marcus and Millichap to give you insight into senior living investment opportunities and obstacles for the coming year.
- Senior housing occupancy is at its lowest rate in seven years – 88 percent. In addition to low occupancy, the main challenge facing the industry is supply and demand imbalances, particularly in specific markets.
- The anticipated demand generated by baby boomers is still 10 years away, but the 2025 cohort is estimated to comprise of 10.2 million people.
- There is a growing shortage of skilled healthcare workers, especially those with senior living experience. Healthcare jobs will account for about 2.3 million new jobs through 2026 and about 1.6 million of those new jobs will come from employment of personal care aides, home health aides, and nurses.
Comprehensive Industry Overview
The Senior Living State of the Industry report includes a summary of tariffs and policies that currently dictate aspects of senior housing investments and construction. We review changes to HUD’s Section 202 and Housing Choice Voucher Program, Low Income Housing Tax Credits, and Fair Housing and Disparate Impact, and how each impact the senior living industry.
Policy review is followed by real estate marketing insights, including senior living search and digital advertising trends from Q3 2018. Finally, we list the top 10 markets to watch in 2019, as outlined in the 4Q 2018 NIC MAP Senior Housing and Care Market Performance Report.
What’s Next on the Digital Marketing Landscape
Digital marketing continues to be fueled and empowered by artificial intelligence (AI). Be ready to meet your audience at every stage in the customer journey with an upgraded marketing platform. The two most essential tools to invest in are your website and AI-powered digital advertising. Websites must be optimized for local search in order to effectively compete, in any market region. Once your website is ready to greet visitors, make sure you can be found with a high SERP ranking and personalized search experiences – made possible with the right digital advertising methods.
Stay Competitive by Knowing Industry Standards
Make sure your marketing toolkit is backed by current industry research before acquiring any new properties or changing strategy. G5’s 1H 2019 Senior Living State of the Industry report takes the guesswork out of understanding how market trends, supply and demand, policy changes, and marketing insights impact your budget.