#danbrewer

Looking ahead as baby boomers retire at an increasingly accelerated pace? If you’re an accredited investor, you can invest in senior living community building projects. The Senior Living Fund vets each project and you can get involved. Just be prepared to leave your money in the project for a lifecycle of up to five years or more.

Senior housing has experienced outstanding growth in the past decade, and that growth is expected to continue for many years to come. Yet, relentless demand for senior housing does not make the investment decision a no-brainer. Some sectors of senior housing are struggling, for good reason. And, some markets are over-saturated with supply. To make a profitable senior housing investment, you need to understand the industry.

In historical terms, the next recession is overdue. The S&P 500 lost half its value in the Great Recession. Some alternative investments may help stabilize your portfolio in times of economic uncertainty.

Many of us naturally assume that the income benefits of CRE will be quickly compromised by the subsequent tax liabilities. In fact, the opposite is true. CRE holds potential for not just profit, but for tax benefits, as well. The following are my top seven tax benefits of investing in CRE.

Senior Living Fund – Senior Living Fund is a platform that specializes in senior housing and they project rates of return in the 13%-21% range. They fund and develop new senior housing communities but they don't offer too much in the way of details. I'm sharing it because it's a good example of specialization but I don't know much else about them.

One of the most common complaints I hear about senior housing today is this: it’s too expensive. As part of a company that invests in private-pay senior housing facilities, I hear this complaint often. With monthly rents ranging between $1,500 and $6,000 per month, it’s clear today’s senior housing rents may present a significant burden to aging Americans and their families. Still, what I’d like to focus on in this article is not affordability but cost.

If you’re up on your senior housing investment news, you likely know that many publicly-traded healthcare REITs focus more on medical office buildings and other health care real estate than on senior housing. At the same time, many private equity funds continue to be bullish on senior housing—not just for projected returns, but for its ability to stabilize an investor’s portfolio in an otherwise unstable market. So: who’s right? And which—REITs or private equity funds—make a smarter investment in today’s senior housing marketplace?

The best way for investors to elevate the senior housing industry is to invest in communities that focus on the holistic health and wellness of residents, as noted above. Whether you’re focusing on private-pay, nonprofit, or government-sponsored low-cost housing, I believe investors can collectively encourage these standards across the board. After all, if we all choose to invest in quality establishments, there will be no market for low-quality ones.