Investors bullish on housing for older adults

Core Insights - The senior housing sector is experiencing strong performance in 2025, characterized by rent growth and sustained absorption, indicating renewed strength in the market [1] - Medium and long-term investment sentiment remains positive, driven by the aging population and the anticipated 'Silver Stimulus' [2] - The U.S. population aged 80 and above is projected to grow by 36.6% over the next decade, significantly increasing demand for seniors housing [3] Demand and Supply Dynamics - Demand for independent living, assisted living, and memory care housing is rising due to longer life expectancies and complex healthcare needs [2] - The senior housing sector is supported by durable demographic demand drivers and improving economic conditions, with 86% of investors looking to increase their exposure in 2026 [3] - As Baby Boomers age into higher-acuity cohorts, demand and absorption are expected to remain elevated, with occupancy growth continuing to outpace new supply [4] Economic Trends - The demand for housing targeted to older adults has accelerated significantly, with 18 consecutive quarters of occupancy growth [5] - Overall occupancy in senior housing reached approximately 89% as of Q4 2025, the highest level in years, while new inventory growth declined to its lowest since 2006, creating a supply-demand imbalance [6] - Senior housing rents have increased by 28.8% from pre-COVID levels, averaging $5,479 monthly, reflecting rising prices in the sector [7]