PROS & CONS OF INVESTING IN 55+ COMMUNITIES PROPERTIES
PROS OF INVESTING:
- Fascinating locations. Most retirement communities are located in warm, sunny climate states, such as California and Florida. Also, these communities are usually located near active cities or big college campuses, which means that there should be tons of different activities. Another benefit of these locations is that they are close proximity to exceptional healthcare centers and providers.
- Mature population. People that are 55+ years old are more calm and peaceful. They are mainly looking for a place to finally settle down.
- Property care is included. Monthly fees cover the maintenance of the property. Communities can cover different parts of the property care, from housekeeping to yard work.
- You know your target market. It is much easier to create a marketing plan to attract new clients because they are supposed to be from a specific age group, 55+.
- Community facilities. In such communities, you always have activities to do. It can be educational/exercise classes, friendly meetings with community members, games, and so on…
- Peaceful and calm atmosphere. Most of the retirement communities are gated and the tenants per house are 1-2 people, allowing it to remain quiet and not overcrowding the area.
- Less wear and tear. Once again, the amount of people per house in these communities is 1 to 2 people, and most of the time, there are no children, so there is less chance that you will need to restore or repair something in the house.
CONS OF INVESTING:
- Monthly fees. These fees can include utilities, house maintenance, yard works, and much more, and you will need to pay them even if you don’t have tenants in your property.
- Narrow target market. Even though you will understand who is your potential customer, it also can be non-beneficial. These properties are for a specific demographic, which limits your options for tenants.