NATIONAL NEWS

Americans are living longer these days, and this has a major impact on the Real Estate industry. By learning how to address the unique needs and desires of seniors, Real Estate agents can expand their businesses dramatically.

There are a growing number of seniors in the United States. Many of them have lived in their homes for decades, watching their children grow and their neighborhoods change. When they decide to move, they face many unique challenges. Many are unsure of their property values. Others have tax concerns. Some have no idea how to buy or sell property. For these folks, hiring a Real Estate agent that understands their desires and needs is invaluable.

According to the U.S. Census, there are 36.3 million people age 65 and older in the United States as of July 1, 2004, accounting for 12 percent of the country’s population. By 2050, the Census projects there will be 86.7 million people age 65 and older, comprising 21 percent of the population. This, coupled with the fact that four in five older Americans own a home, illustrates that seniors make up a huge portion of the Real Estate market.

The Senior Advantage Real Estate Council (SAREC), in its annual Senior Home Seller Survey “Moving Forward: 50 & Beyond,” reports that one of the biggest challenges in finding homes for seniors is offering modifications and more choices. The report suggests that if the needs of seniors were carefully addressed, they would move more frequently, creating more opportunities for Real Estate agents.

Like any service industry, the Real Estate business is filled with agents trying to distinguish themselves from the pack. Focusing on the senior market is an excellent way to do this. The Seniors Real Estate Specialist (SRES) designation provides education to agents who want to specialize in the senior market. It focuses on the special housing needs of seniors who are buying or selling Real Estate. According to the SAREC, the designation has become very popular with Real Estate agents. To earn the SRES designation, agents must complete a two-day course, which covers specific issues such as specialized housing options and asset protection.

SRES designees are specially trained to help seniors make wise decisions about selling their homes or buying new homes. The program offers agents the knowledge and expertise needed to counsel senior clients through the major financial and lifestyle transitions involved in relocating, refinancing or selling a home. While SRES agents cannot give legal or tax advice, they maintain referral relationships with accountants and Real Estate attorneys who specialize in seniors’ needs.

Bob Hennessy, a RE/MAX Preferred broker, earned the designation four years ago. He was drawn to the designation for many reasons, including the fact that he was a senior himself. “Too many seniors are taken advantage of by unscrupulous agents who don’t care about them,” he says. “I’ve represented buyers who were purchasing homes from senior sellers. The sellers’ agents would try to push things through that should not have been pushed through. They were trying to make a quick sale and assuming that what their clients didn’t know wouldn’t hurt them. But it was hurting them. And I was tired of watching it.”

This is a common problem with seniors. For many, it has been decades since they bought or sold a home, and the marketplace has dramatically changed. “Many older folks, especially those who are 70-plus, have trouble remembering things and many defer maintenance of their property to others,” says Bob. “Major decisions like signing disclosures can’t be taken lightly. I’ve seen agents try to push sellers into signing a disclosure when in reality there were serious flaws in the house.”

To better service seniors, Bob says there has been a major push in his office to promote the SRES mission and concentrate on the senior market. “Having the SRES really gives my senior clients a sense of confidence,” he says. “It’s like seeing a CPA versus an accountant, or a surgeon versus a naturopath. About 40 percent of my clients are seniors nowadays, so it’s good to build this confidence.”

According to Bob, working with seniors sometimes requires a little more effort, but he is quick to point out that the benefits outweigh the extra time. For example, he recently helped an elderly doctor and his wife move from their 30-year residence to a senior community. “We really had to start from scratch,” he says. “They had lived there for 30 years and had accumulated quite a bit of clutter. Having survived the Depression Era, they held on to everything. We brought over drop-boxes to clear out the house but every time we put something in one side of the box, the wife would go to the other side and take it out. We eventually got them moved but it was quite a challenge.”

Agents like Bob have turned their commitment to seniors into a significant portion of their Real Estate careers. By investing the time to gain the expertise needed to deal with seniors’ special needs, these agents are reaping both financial gains and a feeling of satisfaction in their work. At the end of the day, the payoffs are priceless.