Philly seniors are reshaping the rental market
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Renting isn't just for young urban dwellers and college kids anymore — more Philly-area seniors are now getting in on the national trend.
Why it matters: It offers greater flexibility than home ownership, and coincides with a larger embrace of micro-living, a trend that's taking off in Philly as people seek a "less is more" lifestyle.
By the numbers: Nationwide, the share of renters 65 or older rose to 13.4% in 2023 from 10.4% in 2013.
- That age group saw the biggest jump of any, 2.4 million more renters over the decade, with many landing in popular Sun Belt metros, researchers found.
- Just two of 75 major U.S. metro areas posted a decline in the share of renters over 65.
Zoom in: Nearly 16% of Philly metro renters were 65 or older in 2023, roughly a 3 percentage-point increase from a decade earlier, per a report by rental listing site Point2Homes.
- Meanwhile, the Philly area saw significant drops in the number of younger and middle-aged people renting. For those aged 18 to 24, it was a nearly 14% decrease. It was a 22% drop for those between 45 and 54.
The big picture: Many older adults are on fixed incomes and stay in their homes because they're mortgage-free or have a low interest rate.
- But others are renting for less upkeep, to be closer to family, or for walkable neighborhoods.
- More are also putting off retirement and want the flexibility to move for a job.
Zoom in: "Active adult" rental communities (think: resort pools and yoga gardens) are expanding quickly as a lower-cost option for those who want to downsize but don't need traditional independent living services, according to the National Investment Center for Seniors Housing & Care.
Reality check: People ages 25-34 are still the most likely to lease, representing around 27% of U.S. renters, per the report, which looked at Census Bureau data.
- High homeownership costs have made it harder for renters to buy.
What we're watching: "With record numbers turning 65, the shift not only echoes the broader aging of the nation, but also may signal a new approach to housing," Point2Homes researchers wrote.