Senior Renters Are Attractive

As families migrate away from the high population concentrations of the northeastern cities, looking for more space, a lower cost of living, expanding employment opportunities, and lower taxes, they are likely to bring along their senior members who tend to retire close to family. These seniors will need housing, and despite the health crisis that has occurred in skilled nursing settings across the country during the pandemic, other senior living environments, such as independent living, assisted living, and memory care communities can still claim that seniors are better off in their care versus at home (MHN article). Independent senior living is attractive because seniors can be protected from uncontrolled interaction with younger family members better in an apartment than in a single-family home where multiple generations live together.

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For investors in and operators of senior living communities, seniors make attractive renters because they do not depend on employment income to pay their rent. According to a July 16, 2020 MHN article, rent collection in the senior living real estate sector has remained strong during the pandemic. For other commercial real estate multi-family sectors, federal unemployment benefits and loan and rent forbearance measures have bolstered rent collections for a few months, but the true rent collection and apartment occupancy picture in the long term will not begin emerging until after the end of July when government unemployment benefits expire. It is uncertain how many renters will be able to keep paying their rent, how many vacancies will be created, and how rental rates will be affected by the withdrawal of federal program support.

According to the National Multifamily Housing Council, 87.6 % of renters made full or partial rent payments by July 13. That is slightly down from a month ago and from the same period last year.

Marketing a senior living community may require appealing to the adult children of seniors as much as to the seniors themselves. According to Brett Gelsomino, Vice President of ZOM Senior Living some amenities to consider in new multifamily rental construction projects for seniors and in remodeling projects include amenities that ZOM is putting in its South Florida communities:  walkable locations nearby, pools, lounges, dining venues, library, and business centers, garage parking, valet service. He expects that there will be pent-up demand for senior living communities by mid-2022.

Demand for senior living communities could rise as soon as the covid-19 pandemic expends itself and people can move about again. Hopefully by 2021. Who knows? If you have the funds and the desire, building through low economic times is good for the economy and good for your mental wellbeing. If you need funding, apply now.

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I am working online with the rest of you.

Patrick St. Cin

W – 512-213-2271

M – 505-239-3026

Patrick@REICapital.cash

http://www.reicapital.cash/

References:

Laura Calugar, Multifamily Housing News. https://www.multihousingnews.com/post/close-up-on-south-floridas-senior-housing-sector/ July 16, 2020.

IvyLee Rosario, Multifamily Housing News. https://www.multihousingnews.com/post/national-multifamily-report-may-2020/ July 19, 2020.

Fixing Up Houses for Seniors

The coronavirus pandemic has cast a shadow of mortal danger over senior community-living and assisted-living options, nursing home options, and the option of living fulltime on a cruise ship grazing the buffets and watching people, waves, and whales.  Instead of looking forward to being safe with others our own age, with staff to care for us, and convenient medical care, we find that living in community might expose us to a virus we have no immunity to and a particular susceptibility for.

Even if one eyes being sick alone with anxiety, aging in place, at home has become even more attractive in recent months, and it has also become more possible. Advances in electronic technology have given many seniors more tools to use to assist them in staying at home while they age. Online shopping and delivery of even groceries and the surge in telemedicine are a couple of the technologies that have taken off during the pandemic. According to the Wall Street Journal article by Peter Grant, Senior-Housing Communities Face Higher Vacancy Rates Amid Coronavirus, virtual “doctor visits through American Well, also known as Amwell, increased 1000% during a six-week period (1).”

While senior community investors are taking a beating right now, a fix-n-flip real estate investor might be able to turn a profit on small rundown houses by remodeling them into the perfect haven for a senior citizen who wants to avoid community living. The task will mean focusing on details that seniors would be looking for and then marketing those amenities when you sell the home. I’ve scoured several articles for ideas about what to remodel in a fix-n-flip for seniors.

The first Advice I found was “buy a single-story home.” (3)

ENTRANCE

Make a no-rise entry by adding a ramp instead of steps. (3)

Repair uneven or cracked walkways outside and add nonslip surfaces. (3)

If stairs must stay, add 1 ½-inch diameter rails on both sides. (3)

Add reflective strips to top and bottom of stairs. (3)

Create doorways that are wide enough for a wheelchair.

Add benches and hooks for packages both inside and outside an entrance. (3)

Make a cleanup station or mud room near the door so guests can wash hands, remove shoes, discard coats, and pick up a face mask at the entrance and not expose inhabitant to pathogens.

Put a roof over at least one entryway. (3)

KITCHEN

Install appliances with easy-to-read controls and push buttons. (3)

Install a wall oven. (3)

Make a microwave drawer. (3)

Use lazy Susan’s, rollout drawers, glass doors, and open shelving in cabinets and pantries. (3)

Install a single lever kitchen faucet. (3)(4)

LIVING AREA

Removing small step ups and down between rooms and replacing them with ramps.

Install flooring that is nonslip even when wet in bath and kitchen. (2) (3) (4)

Install outlets where they will be most useful, such as on walls where a flat screen would be used so cords don’t show and a little above desk height on walls and in the corners for charging devices or plugging in computers.

BATHROOMS

Install u-shaped and vertical grab bars in the shower and near the bathtub (2) (3) and add back bracing to the walls in these areas. (3)

A walk-in tub.

Install a curb-less entrance to the shower. (4)

Give shower floors a non-slip coating. (4)

Install shower seating, some are fold down. (2) (3)

Install adjustable handheld shower sprayers. (2) (3) (4)

Add extra lightening to shower area. (3) (4)

Install tall or comfort-height toilets and bars to grip when one is lowering and lifting themselves off the toilet. (4)

Add lever faucets to bathroom sinks. (3) (4)

OUTSIDE

Install new decks with handrails and no splinters.

Add Raised garden beds to the landscaping.

I can have private funding for your project. Let’s get our economy going again.

Fill out the BLN application at   http://reicapital.blnsoftware.com/send me an e-mail or

give me a call.

patrick@reicapital.cash

W – 512-213-2271

M – 505-239-3026

Patrick@REICapital.cash

http://www.REICapital.cash

References: