As Older Adults Retire, Housing Affordability Poses A Challenge

As Older Adults Retire, Housing Affordability Poses A Challenge:

 
As the first wave of baby boomers turns 65, they find themselves facing the daunting obstacle course of retirement. Complicated by reduced medical care benefits and diminishing wealth as a result of the late recession, those Americans born between 1946 and 1964 now face a new hurdle on the road to retiring: a lack of affordable housing choices.
A recent report from the Center for Housing Policy, entitled ‘Housing an Aging Population – Are We Prepared?’ reports that by 2050, the number of Americans over 65 will more than double, to 88 million people (20% of the national population, according to the US Census).  With this demographic change comes a fresh demand for affordable housing that adequately addresses the needs of an aging population.
According to the report, current availability of affordable housing is far below the projected need. Currently one in five households aged 65-75 spend more than half their income on housing costs, and that figure only increases with age. The rising cost of housing maintenance over time, coupled with declining income as one ages, means that as more baby boomers retire, the US will see a dramatic increase in the need for housing cost assistance and a shortage of housing that sufficiently addresses that cohort’s need . At greatest risk for financial impact are single women, minorities, and the disabled.
However, the report offers directives for proactive solutions, including policy reforms, tax abatement programs, housing vouchers, and community-based support programs.  Also recommended are policies that would expand housing choices for older adults, including construction of creative housing formats “that promote ‘active neighboring’ and/or allow professional caregivers to live among residents”.
Lastly, the report encourages the strict enforcement of pre-existing policies such as the Fair Housing Act and Americans with Disabilities Act, which would help facilitate these developments. “For the most part, the strategies are familiar,” concludes the report’s summary. “What is needed is greater urgency in the face of demographic certainty.”
To read the full report, please see Housing An Aging Population – Are We Prepared?.