Of the roughly 950,000 single-family and 470,000 multifamily homes that started construction in 2023, 49,000 (30,000 single-family and 19,000 multifamily) were built in age-restricted communities, according to NAHB tabulation of data from the Census’s Survey of Construction. A residential community can be legally age-restricted, provided it conforms to one of the set of rules specified in the Housing for Older Persons Act of 1995.
![](https://eyeonhousing.org/wp-content/uploads/2024/08/Age-Restricted-Graph-1-1024x645.png)
NAHB was first successful in persuading HUD and the Census Bureau to collect and publish data on the age-restricted status of new homes in 2009, during the depths of the housing downturn. 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. These numbers fell during the pandemic but rebounded in 2021-2022, almost reaching the peak from 2018.
In 2023, the total number of age-restricted home starts decreased by approximately 17% from 2022, down to 49,000. Overall, housing starts were lower than the previous year, with single-family and multifamily starts dropping by about 6% and 14%, respectively. However, age-restricted home starts showed a mixed trend: they increased for single-family homes but declined for multifamily homes. This shift was due to a higher percentage of single-family home starts being age-restricted compared to the previous year, while a lower percentage of multi-family home starts fell into this category.
![](https://eyeonhousing.org/wp-content/uploads/2024/08/Age-Restricted-Graph-2-1024x575.png)
The SOC data allow for a comparison of the characteristics of new age-restricted single-family homes with other single-family homes started in 2023. The analysis reveals that age-restricted homes were more expensive, with a median price of $500,000, compared to $422,000 for non-age-restricted homes. This follows a similar tendency observed in 2022, when age-restricted homes had a median price of $547,000, compared to $461,000 for non-age-restricted homes.
However, in 2022, the median size was the same for both types of homes, making age-restricted homes more expensive per square foot. In 2023, on the other hand, the median size was 200 square feet larger for age-restricted homes, resulting in the same median price per square foot for both types of homes at $152.63. A difference was also apparent in lot value. Although the median lot size was the same for age-restricted and non-age-restricted lots (0.2 acres), the median value for age-restricted lots was $50,000 compared to $60,000 for non-age-restricted lots.
![](https://eyeonhousing.org/wp-content/uploads/2024/08/Age-Restricted-Graph-3.png)
Additional data from the 2023 SOC reveal that age-restricted homes have distinct characteristics compared to non-age-restricted homes. A higher percentage of age-restricted homes are attached, single-story, and lack a basement. These homes are also more likely to come with patios and porches, 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.
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