Housing
affordability will
also continue to
be a challenge
for seniors in the
coming years.
The aging of the Baby Boomers (those born
between 1946 and 1964 and one of the
largest demographic cohorts in American
history) will have a major impact on the
future housing market. By 2030, the number
of Americans aged 65 or older is expected
to increase to nearly 73 million and those
over 85 will near nine million. By 2040, the
number of Americans aged 65 or older will
approach the 80-million mark (See Chart
H). At the same time, older Americans will
constitute an increasingly larger share of the
total U.S. population.
Most seniors will seek to “age in place”
as long as possible in their own homes,
but many homes lack the basic structural
features that can support safe, independent
living.53 Other seniors will seek to downsize to smaller rentals injecting additional
demand into the rental market. According to
Harvard’s Joint Center for Housing Studies,
the number of renters over the age of 65
will increase by 2.2 million over the coming
decade and account for a significant share
Chart H
U.S. Population Aged 65 and Older
Annual Household Growth (Millions)
80
70
65 years
and older
60
50
40
85 years
and older
30
20
10
0
2010 2020 2030 2040
2000
Source: 2000 and 2010 counts from U.S. Census Bureau, “Summary File
1, Matrices DP-1. Profile of General Demographic Characteristics: 2000
and 2010.” Decennial Census ( Washington, D.C.: 2001 and 2012); projections from U.S. Census Bureau, “Table 2, Projections of the Population by
Selected Age Groups and Sex for the United States: 2015 to 2060.” 2012
National Population Projections: Summary Tables.
18
Photo: The Bozzuto Group
The Aging of the Baby Boomers
of total rental household growth.54 Many will
likely seek rental homes close to transportation options and in communities where other
seniors live. Ensuring these rental homes
have the necessary structural features and
access to services to support senior living
will be a significant concern.
Housing affordability will also continue to
be a challenge for seniors in the coming
years. Today, among those aged 65 and
over, about half of all renters and half of
those homeowners still holding mortgages
pay thirty percent or more of their incomes
just to cover housing costs.55 In addition, 30
percent of senior renters and 23 percent of
senior owners with mortgages have housing
cost burdens that exceed 50 \