Transcript Document
In this chapter
Market geography
Housing options
Age-restricted communities
Housing for Older Persons Act (HOPA)
Second homes
Promoting your market area
Balancing community pros and cons
2-1
Market Geography
More than half 65+ population lives in
nine states
California, Florida, New York, Texas,
Pennsylvania, Ohio, Illinois, Michigan,
New Jersey
California, Florida, and Texas = 29% total
increase in senior populations
Most live in metro areas
2-2
Market Geography
Trend to stay close to home
Future distribution of senior population will
be in proportion to where Baby Boomers
and their parents now live
2-3
Banker’s Life Co.
Top 10 Locations for Seniors
Portland, OR
Seattle, WA
San Francisco, CA
Pittsburgh, PA
Milwaukee, WI
Philadelphia, PA
New York, NY
Boston, MA
Cincinnati, OH
Chicago, IL
2-4
Terminology Is Local
Terminology for types of housing can
differ from place to place
• House-o-minium?
• Condo-cabana?
2-5
Housing Options
Active Lifestyles
Independent Living
Assisted Living
Continuing Care
Care Facilities
2-6
Active-Adult Communities
Age restricted
Range of services, social events,
amenities, and activities
2-7
Desired Amenities
Top 3 of 10 amenities:
1. walking and jogging trails
2. outdoor spaces
3. public transportation
Amenities enhance value even if
residents do not use them
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Active-Adult Housing Options
Single-family homes
Attached homes, duplexes, townhomes
Condominiums, house-o-miniums
Manufactured and mobile homes
Cluster housing
Subdivisions
Cruise-ship condominiums
“Try-before-you-buy” option
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Elder Cohousing
Residents design the community
Design encourages a sense of
community
Common facilities designed for daily
use
Residents manage the community
Decision-making by consensus
Community & services not a source
of income
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Are We Having Fun?
Men
• Age 55-64 are least-fun years
• Age 65 most say they about same
• Less likely to pretend enjoyment
Women
• Having more fun until age 65
• Less inclined to pretend fun
What would men and women rather be
doing? Good deeds.
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Aging in Place
Remaining in the current residence
Staying in the community, but in a
different residence
Relocating for the last time
2 - 12
When and Where?
Most lock in their housing choice for aging
in place by age 60
Security, privacy, independence
2 - 13
Certified Aging-in-Place Specialist (CAPS)
Awarded by the National Association
ofHome Builders
Specialists in adaptive modifications of
homes for aging in place
www.nahb.org
2 - 14
Seniors-Only Apartments
20% of seniors are renters
Apartments are small and easy
to maintain
Seniors can socialize with comfort,
safety, and security
No medial or custodial care provided
Long waiting list for low-income housing
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PACE
Program of All-Inclusive Care for
the Elderly
Coordinated care and services
Better for seniors to be served in
the community
Nursing home needs certified,
but few seniors live in nursing home
www.npaonline.org
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ECHO
Elder Cottage Housing Opportunity
Granny flat, mother-in-law flat, or
accessory unit
Site-built and attached to the main home
Separate entrance
Enhances the value of the main home
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Shared Housing
Sharing a home with a roommate
Strategy for aging in place
Organizations help with match up
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Congregate Living
Private apartments
Independent living with privacy,
supervision 24/7
Common social areas and
communal meals
No medical care
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Senior Day Care
Fills in the gap when the caregiver must
work during the day or needs a respite
Offers supervision, often a noon meal,
social and education activities, and
support groups
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Short-Term Stays
May be offered by congregate,
assisted living, and continuing care
retirement communities
Can provide vacations and care giver
respite
Try out as a possibility
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Assisted Living
Intermediate step between independent
living and care facilities
Assistance with daily activities
For those who cannot live on their own,
are ambulatory, but do not need
nursing care
Medicare does not cover cost
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Continuing Care
Increasing levels of care at one location
as residents’ needs change
Provides security of being taken care of
through stages of aging
Residents can maintain friendships
Large buy-in fee, annuity purchase,
monthly fees
Not for the budget conscious
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Elder Care
Caring for the frail elderly who have
chronic functional impairment
Assistance in one or more of the activities
of daily living (ADL): bathing, toileting,
dressing, grooming, eating, and
transferring, such as moving from
bed to chair
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RCFE
Residential care facilities for the elderly
More independence than a nursing home
Assistance with ADL, but no medical care
One basic price for a package of services
with added fees for additional services, or
deductions for services not used
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Board and Care
Simple small assisted living facilities
Personal and custodial care
Converted private homes, unofficial
4 to 10 residents
Also known as foster care, group homes,
and domiciliary homes
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Nursing Homes
Personal care and medical care around
the clock
Short-term residents who are recovering
Long-term residents who cannot care for
themselves
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Respite Care
Allows caretakers occasional time off to
recoup emotionally, handle other family
responsibilities
Alternative is short-term stay in an
assisted-living facility
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Alzheimer's Care Facilities
Specialize in care of patients with
dementia
Caring for patient at home means families
need to think about:
• Security and safety of environment
• Day care facility availability
• Interaction and recreation opportunities
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Facility Regulation
Different state agencies regulate different
types of facilities
No standard definitions
Two different “retirement centers”
or “assisted-living” facilities within the
same state may not be licensed by the
same agency
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Why Age-Restricted Communities?
Seniors can make friends with people of
the same age
Use of facilities
Peaceful atmosphere
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Verifying Age
Not the responsibility of the REALTOR
to verify age or eligibility
Clients must be informed that they will be
expected to meet the age restrictions
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HOPA
Two Levels of age restriction:
1. 80% of the units occupied by at least
one person age 55 or older per unit
2. 100% of the units occupied by
person age 62 or older
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HOPA Requirements
Must publish and adhere to policies and
procedures that show intent to provide
housing for these age groups
Must verify resident age through reliable
surveys or affidavits
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80/20
Prevent loss of exemption when surviving
spouse or heir occupies the unit
Occupants are counted, not the owners
Occupant may be absent for a time
Healthcare workers or family caregivers
are not counted
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Second Homes, Future Retirement?
Use of the property may change as
owners progress through life stages
One in four vacation-home owners intend
to use the property as a primary residence
after retirement
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Converting Rental to Retirement
Use rental income to offset as much
of mortgage and expense
Sell primary home and refurbish
rental home
Sell both homes and purchase new home
2 - 37
Typical Second Home Buyer
What picture do the data present?
How does it compare to the buyers you
encounter most frequently in your market?
2 - 38
Promoting Your Market Area
Help buyers evaluate and balance the
pros and cons
2 - 39
Checklist for Promoting Your Market Area
Medical
Market
Transportation
Community & Activities
Fitness
Climate
Services
Senior and Aging Services
Property Features
2 - 40
Cost of Living
Most important factor in choosing
retirement location
Be prepared with information on cost of
living factors
2 - 41
How Liveable Is Your Community?
AARP 10-point quiz
How would your grade your community?
Go to www.aarp.org
2 - 42