Remote investing in assisted living facilities presents an opportunity to capitalize on a growing market while minimizing management burdens. This unique investment strategy not only offers robust financial benefits but also contributes to a critical service in today’s society. Consider adding this asset class to your investment portfolio and take advantage of the abundance of opportunities it presents.

Looking to start in assisted living real estate?

Evaluate demand, regulations, living costs, and competition to improve your facility's chances for long-term success.

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Starting an assisted living business is both rewarding and challenging. At Ntare Consulting, we offer tailored support for aspiring facility owners through market analysis, property selection, and strategic planning. We research high-demand areas to maximize success and tap into our Dallas-Fort Worth network to find suitable properties. We guide you through zoning regulations and property assessments, reducing risks and saving time. After identifying the right location, we assist with negotiations and purchasing so you can focus on growing your business. Our support includes operational strategies, marketing, and compliance to help you establish a strong foundation. Choose Ntare Consulting to leverage our expertise in this vital industry. Contact us to start your journey toward success.

Based on these factors, here's a comparison of some of the best cities and states to consider for starting an assisted living facility:

1. Arizona (Phoenix or Tucson)

Demand: Arizona is one of the most popular retirement destinations in the U.S., especially cities like Phoenix and Tucson, due to their warm climate and affordability. The state's senior population is growing rapidly.
Regulations: Arizona offers relatively straightforward and business-friendly licensing regulations for assisted living facilities through the Arizona Department of Health Services. The costs for obtaining a license are moderate, and the state provides clear guidelines.
Cost of Living: Phoenix is more affordable than other large U.S. cities, offering a reasonable cost of living for starting a business. Tucson is even more affordable than Phoenix.
Competition: While there is competition, the growing senior population ensures a high demand for assisted living services.
Pros:
- Strong demand due to the large retiree population.
- Affordable housing and land prices.
- Business-friendly environment.

Best City: Phoenix for a larger population or Tucson for lower startup costs.

2. Florida (Tampa or Orlando)

Demand: Florida has the highest percentage of seniors in the country, making it a hotspot for retirement communities and assisted living. The demand is particularly strong in cities like Tampa and Orlando.
Regulations: Florida has extensive regulations through the Agency for Health Care Administration (AHCA). While the regulatory process can be detailed, the state’s demand for services makes it worth the effort.
Cost of Living: Cities like Tampa and Orlando offer more affordable real estate options compared to Miami, making them viable for new assisted living facilities.
Competition: Florida’s large retiree population means high competition, but also high demand.
Pros:
- High demand from a growing senior population.
- Attractive for families seeking to relocate their elderly parents.
- Relatively favorable tax environment.

Best City: Tampa for a balance of affordability, demand, and lower competition compared to Miami.

3. Texas (Austin, Dallas, or San Antonio)

Demand: Texas has a fast-growing population of retirees, particularly in cities like Austin, Dallas, and San Antonio. The state’s lack of state income tax makes it an attractive retirement destination.
Regulations: Texas is known for its relatively business-friendly regulatory environment, with clear guidelines for licensing assisted living facilities through the Texas Health and Human Services Commission (HHSC).
Cost of Living: While Austin’s real estate market is rapidly growing and becoming more expensive, Dallas and San Antonio still offer affordable property and construction costs.
Competition: The demand is high across major cities in Texas, with enough room for growth despite some existing competition.
Pros:
- Growing senior population.
- Business-friendly regulations and no state income tax.
- Large metropolitan areas with diversified economic bases.

Best City: San Antonio for affordable startup costs or Dallas for a larger market.

4. North Carolina (Raleigh or Charlotte)

Demand: North Carolina’s popularity as a retirement destination has been growing, particularly in cities like Raleigh and Charlotte, which offer a moderate climate and affordable cost of living.
Regulations: North Carolina has structured but manageable regulations for assisted living facilities through the Division of Health Service Regulation.
Cost of Living: Real estate and living costs in Raleigh and Charlotte are generally more affordable compared to other major metro areas on the East Coast, such as New York or Boston.
Competition: Demand is rising, and the competition is still moderate compared to more saturated markets like Florida or Arizona.
Pros:
- Growing senior population, especially in the Research Triangle (Raleigh-Durham).
- Affordable cost of living and real estate.
- Favorable climate.

Best City: Raleigh for growth potential or Charlotte for a larger population.

5. Colorado (Denver or Colorado Springs)

Demand: Colorado’s appeal lies in its outdoor lifestyle and quality of life, which attracts retirees. The senior population is growing, especially in cities like Denver and Colorado Springs.
Regulations: The state has clear licensing guidelines through the Colorado Department of Public Health & Environment. However, regulations in Colorado can be stricter than in states like Texas.
Cost of Living: Denver is more expensive than other options on this list, but Colorado Springs offers a lower cost of living and may be a better option for starting a business.
Competition: The market is growing, and there is demand for high-quality assisted living services, particularly in Colorado Springs, where the competition is lower than in Denver.
Pros:
- High quality of life and growing senior population.
- Colorado Springs offers a lower-cost alternative to Denver.

Best City: Colorado Springs for affordability and demand, or Denver if targeting higher-end clientele.

6. Pennsylvania (Pittsburgh or Harrisburg)

Demand: Pennsylvania has a significant aging population, especially in cities like Pittsburgh and Harrisburg. These areas are seeing a steady increase in demand for senior care services.
Regulations: Pennsylvania’s Department of Human Services oversees the licensing of assisted living facilities, and the process is well-defined but can be bureaucratic.
Cost of Living: Pittsburgh and Harrisburg offer affordable real estate compared to cities like Philadelphia. This affordability extends to operational costs.
Competition: Demand is increasing, and while there are many facilities, the growth of the senior population creates room for new entrants.
Pros:
- Growing senior population.
- Affordable startup and operational costs.

Best City: Pittsburgh for a larger market, or Harrisburg for lower startup costs.

If you prioritize affordability, San Antonio is your best bet, while Phoenix and Raleigh offer higher demand and excellent growth potential.

After careful consideration and analysis, the best city and state to start an assisted living business is one that not only offers a growing population of seniors but also has supportive local policies and a favorable business climate. Factors such as access to healthcare facilities, community resources, and a strong demand for assisted living services play a crucial role in determining the ideal location. Additionally, understanding the demographics and needs of the community can significantly impact the success of the business in the long term.

Best Overall State: Arizona offers a combination of high demand, business-friendly regulations, and affordable startup costs, making it the best overall state for starting an assisted living facility. Phoenix, in particular, is a strong choice due to its growing retiree population.
Best Affordable Option: San Antonio, Texas, provides a balance of affordable real estate, growing demand, and a business-friendly environment. The lack of state income tax is an added benefit.
Best for Growth Potential: Raleigh, North Carolina, is an excellent choice for long-term growth. The area's affordable cost of living and rising senior population provide a solid foundation for a new assisted living facility.

Real Estate Based Businesses - Best states to start Assisted Living and why