Remodeling businesses such as paint franchise opportunities are lucrative. Over the last five years, the industry grew by more than 5% to reach revenues of over $95 billion. Although experts believe that it will slow down in 2019 and in the next few years, it will still increase by 2.6% by 2020, which will mean revenue of $347 billion. Still, it pays to focus on markets that will bring the most cash, and among the generations, it will be the baby boomers. The seniors are planning to age in place.
Why Seniors Don’t Want to Live Their Homes
Aging in place is not a new phenomenon. The only difference between now and the decades before is the popularity. According to AARP, almost 90% of seniors or those who are at least 65 years old prefer to age in place. They don’t want to live their properties. Others might choose to move to another house without leaving the community or the state.
Even if they need assistance or healthcare treatment, over 80% still like to be at home. It’s a significant percentage compared to only 4% who want to move to a relative’s home or 9% who plan to transfer to a care facility. These results are no different from the 2016 data of Pew Research Center. When asked what they would do if they could no longer take care of themselves alone, an overwhelming 61% said that they would still choose to live in their home but would hire someone to care for them.
Only 17% thought about moving into an assisted-living facility while less than 5% would consider transferring to a nursing home. No more than 7% would consider living with a family member. Seniors choose this arrangement for a variety of reasons. Aging in Place lists the following:
- Independent living
- Proximity to friends and family
Among them, independence tends to be the most common explanation with 42% citing it on the AARP study.
Why Remodeling Is Necessary
The desire to age in place is different from reality, and that is many homes in the United States are not designed for their mobility, safety, and independence. This explains why the baby boomers are now one of the biggest markets for home remodeling. According to the National Association of Home Builders, this segment alone can already earn the industry at least $20 billion or 10% of the entire home improvement sector.
Most seniors who remodeled (or planning to do so) their homes had specific renovations in mind. About 80% of them wanted to have safety features, such as non-slip flooring. Around 38% shifted to lower electrical switches while 54% opted for lever-handled doorknobs. More than 78% wanted to have a personal alert system while 79% opted to add grab bars in the bathroom.
The seniors are not requesting for small projects either. They are ready and willing to spend a lot of money on home renovations. The Joint Center for Housing Studies reported that the boomers will account for 33% of the total improvement spending by 2025, increasing their share by two from 1995 to 2005.
It might be because the boomers have better financial means than the other generations. Around this time, they can already be mortgage free or have 100% equity on the property. They can also have investments and savings account to fund for projects, as well as insurance coverage to meet their other big-ticket expenses such as healthcare.