Retirement Communities Considering Widening Age Restrictions

by Deidre Woollard (RSS feed)
Dec 2nd 2008 at 8:01AM

For years developers have been anticipating the needs of the retiring baby boomers by building massive 55-and-over community complexes. But they didn't bet on a slumping economy and a down real estate market that would leave aging Americans unable to stop working and sell their homes. Even those that are already in these communities are struggling to pay their homeowner's dues and condo fees because their retirement accounts are dwindling. The Wall Street Journal covers the growing trend that finds many developments considering opening their doors to younger buyers.

Not everyone is embracing these changes. Some people worry that the mixing of ages would change the nature of the developments bringing more traffic and noise as well as municipal expenses such as schools for younger children. Warm-weather retreats such as Arizona, California and Florida are most affected by this trend. Some are lowering the age requirement from 55 to 45 but still keeping the ban against young children in place. There are also potential legal questions in some cases in regards to zoning since some of these developments have been in zoned specifically for senior housing. Meanwhile prices in these communities, especially in Florida, are plummeting. In the Century Village retirement development in Deerfield Beach two-bedroom condos that would have sold for $120,000 a couple of years ago can now be found for as low as $40,000, a fact that is attracting younger buyers to try and move in.

The problem is that no one knows just how long the current economic situation will last. Some condo developments are trying to wait out the inevitable upswing which will bring baby boomers back to their doorsteps while some developments which had banked on immediate sales, are doing whatever they can to get sales now.

Tags: condo complex, CondoComplex, condos, retirement

Filed under: Real Estate Developments

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Reader Comments (Page 1 of 1)

Chokyi Ooi Feb 26th 2009 8:08PM

Sad to know those in retirement communities are struggling to pay their homeowner's dues. No one knows how long economic situation will last, they need help to get a place to stay.