Finance & RE Developments, GC, RE Investor/Ex RE Broker in So Cal, Senior Housing Partner & Small Biz Owner, Transaction Engineer and ๐๐ฑ๐ปโโ๏ธ๐ฉ๐ป๐ฆ๐ป๐ง๐ป๐ถ
Assisted living costs $5,400 to $6,300
Cost to build assisted living is $475k-$530k a unit
You need $11k-$13k rates to justify putting shovels in the ground
Construction starts are at record lows because nothing pencils
2008 was insane. Values were absolutely tanking in San Bernardino and many parts of the Inland Empire
Values dropped 70-80%+ in some extreme examples
I saw some condos drop from $325k to $80k from 2007-2011
People today have NO CLUE how insane that was
No clue.
Imagine home values falling 15-20% per year for many years
Example below is probably a foreclosure then an REO sale
At one point there were THOUSANDS of house for sale under $100k. Thousands.
In the hardest-hit ZIP codes of San Bernardino and Riverside counties, sub-$100,000 properties frequently made up 30% to 50% of the active local inventory
Banks are smarter now, they will never let that happen again.
2008-2012 is gone but never forgotten
We will never see another opportunity like that again in our lifetime
Them: "A family compound is too expensive."
Me: Compared to what?
What we call "normal" is actually the most expensive way to live.
Daycare that costs as much as a mortgage.
Elder care that drains life savings.
Multiple rents, multiple utilities, multiple insurance bills.
A family compound doesn't create new costs โ it consolidates them.
Shared land.
Shared infrastructure.
Shared resources.
Shared tools.
Shared groceries.
Shared gardens.
Shared childcare & elder care.
This is how families lived before everything was monetized and outsourced.
And no... the current system isn't getting cheaper.