I've been thinking about the following since I returned from Phoenix. Arizona seems to have senior citizen care down. Lots and lots of independent living places, assisted living places, and senior group homes. Which got me thinking: hasn't the explosive growth in senior housing been largely fueled by the rise in home equity? That's how most seniors are paying for their care-based living arrangements, yes? From the (huge) profit they make when they sell the family home? For example, Belmont in Burbank charges (I think) a minimum of $5,000 a month. A care facility can easily cost much more. So, what happens to our seniors and their living arrangements when home equity takes a dive and they no longer have the ability to pay? I think we are going to see many changes in the senior housing industry, and they won't be good.
