Is there a shortage of senior living facilities?
Direct answer
Demand for senior living is rising as the population ages, and the oldest baby boomers turn 80 in 2026, the age when assisted living becomes common. At the same time, new construction is expensive, at $300,000 to $400,000 or more per unit, which slows new supply. In many markets that combination favors owners of existing communities.
What to know
Shortages are local, not national. Some markets are well supplied while others have long waiting lists, so study the specific market before buying or building.
Because building is costly, existing communities often trade below replacement cost, which supports their value.
Investors should check local occupancy, competition and planned new supply during due diligence.
How Haven helps
Haven tracks market conditions across all 50 states for owners and investors. Read our 2026-2027 senior housing market outlook.