WHEN BABY BOOMERS RETIRE

“I speak with a lot of older people about their housing needs, and many are about confused about what to do,” notes Monique Hitzman, senior specialist with Boardwalk Realty in Santa Monica. “They know it going to become more difficult to live in their home as they grow older. Some are choosing to take the equity and move into retirement communities. Others are renovating their existing residences – which can be an huge expense and inconvenience.”
  
Want to know the next big trend to influence housing? Meeting the needs of aging Baby Boomers. Historically, the generation that was born after World War II has had more impact on the United States economy than another other group. They impacted the housing market when they came of age in the 1970s and produced the greatest decade of housing construction. Now that the Baby Boomer generation is thinking about retiring, their passage into the sunset years will have another profound effect on the types of housing in demand.

The largest, healthiest and wealthiest generation in U.S. history currently make up 35% of the population have 77% of the financial assets and 57% of the discretionary income, according to the American Association of Retired Persons. Take those numbers and project out 15 years. When the U.S. Census Bureau did, they estimated that the number of individuals between the ages of 50 and 69 is expected to jump approximately 87 percent over the next 15 years. Currently, in Santa Monica, according to a recent Community Voices profile, 14 percent of residents are seniors, and 12 percent of City households have children.

Another interesting statistic – according to the recent AARP survey called “These Four Walls Americans 45+ Talk About Home and Community" most individuals wanted to stay in their homes, and many did not envision making changes in their residences unless specific needs occur. This conflicts with information from a previous AARP housing survey showed which revealed that nearly 25% of Americans 45 and older remarked that they or someone they live with would have trouble maneuvering in their home in the coming years.

Most respondents acknowledged and valued home features – such as safety railings - that could help ensure they have a safe and comfortable home. But while they recognized the value of these features, many lacked them in their current homes.

Gopal Ahluwalia, researcher and spokesperson for the National Assn. of Home Builders, noted that there is an "amenity gap," between the features seniors want and what developers are providing. The gap included grocery stores and drugstores within planned communities, sidewalks, better transportation and home-meal service.

"Builders have done a good job in some areas in providing what the 50-plus market wants, including wider roads, grab bars in hallways and bathrooms, and a master suite on the main floor," Ahluwalia said. "But we need to continually take into consideration more services in our planning. It's not feasible to have drugstores, grocery stores, hospitals in every neighborhood, but better public and private transportation would go a long way to solving this."

A survey by AARP showed that fewer than 10% of the nation's 100 million housing units have features to make them universally accessible.

The upside is that the housing market is now aware of Baby Boomers coming of age. Homebuilders now recognize that some consumers may grab bars and that rattling bones prefer one-story homes.

"There's a real need to educate the 50-plus population about the availability of services in their community - and the home features now available - that can help them remain independent as they age," noted Tony Copeland, a counselor for AARP. "That way, when the need arises, they'll know where to turn."

As we all know, Santa Monica has many fine senior services. WISE Senior Services is a private, non-profit, multi-service agency "dedicated to maintaining the independence and self-esteem of older adults." They are located at Ken Edwards center at 1527 Fourth Street.