In the latest AARP Bulletin, the headline "Age-Restricted Housing Becomes Ageless" caught my eye. Just the other day I was talking with the Community Sales Manager at one of Coastal Delaware's Active Adult Communities and predicted this very thing. I cited the halted development of two new active adult communities in the midst of this housing market reset. Del Webb had planned to build a Coastal Club a few miles west of Lewes, Delaware, and Central Parke at Milford Ponds was due to hold its Grand Opening last year. Both developments were delayed and still show no signs of site work today.
To quote the AARP article, written by Kenneth J. Cooper -
"The market for age-restricted housing has gone bust as the economic downturn prompts many boomers, unable to sell their homes, to age in place instead. In New Jersey, "it is much more difficult to find construction financing, and many banks are saying they will not lend at all" for such projects, ..." READ MORE
The article cites instances where developers are looking to remove the age-restriction in their communities and local officials are granting their requests. In Coastal Delaware, we have seen no signs of this trend. No existing active adult community has proposed removing the age-restriction. I predict however, that when developers begin to build new communities, they will be built to appeal to all ages but offer the same type of amenities that appeal to active adults. One such community in Lewes, Delaware, offers a clubhouse, fitness center, outdoor pool, tennis court, walking trails and more with no age-restriction. Their sales have been among the strongest in the area this past year. Many Baby Boomers have discovered that, by default, they are in the majority in Coastal Delaware. Others have rediscovered living in towns where they can walk to the Library, Shops and Restaurants.
Another trend mentioned in Mr. Cooper's article is the decision to "age in place" when boomers are unable to sell their existing homes. That trend is most relevant when the plan was to stay in the same town or at least in the same state. When you add the impact of high taxation in states like New Jersey, New York and even Maryland, many boomers facing retirement will do what's necessary to sell their homes and take advantage of the Buyer's market to relocate to states like Delaware, one of the top 5 most tax friendly states for retirees.
"Aging in Place" is a concept that should apply to any home in which you plan to live for the rest of your life. The next home you buy needs to be comfortable as you age and allow for independent living. READ MORE about AARP's Certified Aging in Place initiative.
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