Age-restricted single-family homes started in 2022 were the same size as other single-family homes but on somewhat smaller lots and higher-priced, according to an NAHB analysis of Survey of Construction data from the U.S. Census Bureau. Approximately 28,000 of the 1,005,000 single-family homes started in 2022 were built in age-restricted communities.
In 2009, builders started only 17,000 homes in age-restricted communities (9,000 single-family and 8,000 multifamily). The numbers then increased steadily until reaching 60,000 age-restricted starts, roughly evenly split between single-family and multifamily) in 2018. In 2022, the 28,000 age-restricted single-family starts were slightly off the peak of 33,000 reached a year earlier, and the 31,000 age-restricted multifamily starts tied the all-time high set in 2018.
The median size of an age-restricted home was exactly the same as the median for other single-family homes in 2022: 2,300 square feet. As usual, however, the median lot size for age-restricted homes was somewhat smaller—just under one-sixth of an acre vs. one-fifth for homes started outside of age-restricted communities.
The median price of a new, age-restricted single family home started in 2022 and built for sale was $472,000—$75,000 higher than it was a year earlier and considerably above the $461,000 median price of non-age-restricted homes started in 2022.
Other questions in the SOC show that new single-family homes are more likely to be attached (i.e., townhomes), and single story with no basement if the homes are age-restricted. The age-restricted homes are also more likely to come with patios, but less likely to have decks. Finally, age-restricted homes are less likely to require a loan and more likely to be purchased for cash, as home buyers who are older have had more of a chance to accumulate the savings and assets (often equity in a previous home) that can be converted to cash.Read More