Sell Your Senior Housing
Senior housing investments specialists are often asked how to identify the prime time to sell healthcare properties in order to maximize profit. Fortunately, there is no time like the present to sell. The senior housing industry transaction market is very strong, and the playing field is even for both sellers and buyers alike. Whether you list your nursing home for sale or plan to buy healthcare properties, current market conditions work in your favor. (Read: How To Calculate A Senior Housing Investment)
Expedient Transactions with Low Cap Rates
All sectors of the senior housing industry are experiencing historically low cap rates. Assisted living has a cap rate between 7%-9%, while the skilled nursing cap rate falls between 11%- 13%.
When you couple low debt interest rates with high pricing, sellers find the momentum to move forward with listing their assisted living properties for sale. Those looking to sell their senior housing investments should begin to plan their exit with their senior housing brokerage of choice, JCH of course!
Cheap Debt and Low Risk
Banks have been offering low interest rates on debt, making it easy to acquire loans. Incoming buyers therefore have greater access to cheap debt and can pay higher prices for the assets you sell, whether that is skilled nursing for sale or other assisted living investments.
Low interest rates on debt also mean that lenders perceive low risk in the marketplace. This allows players to borrow and buy without the type of worries that come in a high stress marketplace. As a result, transactions are easily facilitated on both sides.
Low Inventory and High Demand
The need for senior housing properties is growing each year. Investment specialists often advise sellers to wait until inventory for healthcare properties are somewhat depleted, which allows price hikes on the sale. From the buyer’s standpoint, a marker to look for is a steady flow of inventory, whether those healthcare properties for sale are cash flowing assets or distressed.
It has never been easier for a seller to find the right type of buyer in the senior housing industry. Sellers are discovering there is a strong demand for assisted living, but the need for skilled nursing facilities for sale is even greater. Recent transaction history has shown that senior housing facilities for sale have either accepted offers or are under LOI within the first 30 days of listing.
The Senior Housing Brokerage All Investors Trust
The current senior housing industry allows the seller to sell the way he or she wants. If you want to quickly dispose of your senior housing investment, you can have a buyer within the next month. If you would rather wait and achieve the highest price possible, then take the time for a larger marketing campaign to attract willing buyers. Whatever the situation, the JCH Group has both the resources and experience to facilitate your transaction goals.
If you are new to the senior housing industry and have no idea what a business is worth, ask for our free business valuation. No matter your status in the industry trust JCH as your investments specialists in the senior housing business.