- Deborah Frieden and her spouse are planning to scale back their living space in Oakland, California.
- However, they are struggling to find a condominium with features that cater to senior citizens.
- The scarcity of bigger apartments and condominiums also adversely affects multigeneration households in urban areas.
Deborah Frieden and her spouse have deep affection for their community around Lake Merritt in Oakland, California. They brought up their children in the three-bedroom standalone home where they have resided for the past 36 years.
As they approach their early 70s, they have begun planning for an upcoming phase where gardening and navigating multiple flights of stairs daily will become challenging. However, upon searching for cozier, more easily manageable residences nearby, they discovered that suitable choices are scarce, despite having ample financial resources.
Frieden and her spouse fall into the category of lucky Baby Boomers who purchased fairly inexpensive houses many years ago. These individuals managed to pay off their mortgage debts and witnessed significant growth in their home equity. The price tag for their residence back in the '80s was slightly over $300,000. Today, properties akin to theirs in the vicinity are being sold within the range of $1.6 to $2.2 million, making them quite secure financially as they approach retirement. However, finding an appropriate place to spend their twilight years remains challenging for this duo.
Frieden and her spouse are emphasizing accessibility, which is why they have primarily focused on bigger condo complexes equipped with elevators. However, they also desire a compact outdoor area such as a balcony, sufficient wall space for their artwork, along with dedicated spaces for a home office and an extra room for guests.
However, large units are quite rare, according to Frieden. The majority of these condominiums consist of modest one- or two-bedroom spaces lacking any outdoor areas. They feature contemporary, open-concept designs that tend to attract younger residents' preferences and living styles.
Frieden commented on the condominiums, saying, "They appear tailored for younger individuals." He added that their marketing highlights features such as "'the best aspect of our community being the gym and communal courtyards, rooftops, and bicycle storage,' which may not be top priorities for older residents."
The couple wishes to remain in their neighborhood. With many close friendships around them, and Frieden enjoying easy access to the farmer’s market, Trader Joe's, and parks, they see no reason to leave. As she grows older and potentially phases out from driving, moving to an area with fewer walking options concerns her greatly. "I've thought about maybe finding a plot here to construct a compact living space,” she mentioned. “Moving at this stage to a place where everything requires using a vehicle seems impractical.”
Elderly individuals from the baby boomer generation are choosing to remain in their residences. significantly more extended compared to those before them Part of this is due to the fact that re-entering the housing market when mortgage rates and home prices are so elevated lacks financial viability—or simply isn’t within their budget. A significant number aim to move to smaller, easier-to-maintain residences located in areas close to public transportation and designed for walking. However, such properties aren't readily available. Similar to Frieden’s experience, these individuals find it challenging to locate suitable options currently on the market.
The national shortage of housing has led to numerous new multifamily projects being developed over recent years. However, these newly constructed units tend to be more compact, partly due to decisions made by developers. earn higher revenue per square foot On studios and one-bedrooms, they focus more compared to two-bedrooms, three-bedrooms, and bigger units.
Frieden expresses her surprise that developers aren't putting more effort into meeting the demand, especially in the upper segment of the market.
Real estate developers are overlooking a significant chance to focus on this demographic—not by building traditional retirement homes, but by developing condos that offer greater versatility and attract individuals with somewhat higher budgets," explained Frieden. He continued, "These folks might be willing to spend a bit extra for added features such as top-notch facilities, slightly bigger units, increased storage options, potentially adaptable floor plans, and perhaps some sort of outdoor area.
Seniors aren't the sole group facing these issues. Multi-generational households aiming to reside in more crowded city centers are also affected. having a hard time discovering bigger, family-oriented apartments and condominiums. According to the data, empty-nester baby boomers possess double the number of spacious residences compared to millennials who have children at home. a recent Redfin analysis This is making it increasingly difficult for millennials and families with children to enter the market or upgrade to larger homes.
The improper distribution of housing—and the lack of bigger condominiums and apartments—will grow more critical as baby boomers remain in residences that are not suitable—or even safe—for their needs as they age.
"There are baby boomers I've encountered who own two-story houses but avoid going upstairs because climbing the stairs has become too difficult for them," said Daryl Fairweather, Chief Economist at Redfin. told BI recently .
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