Why Nursing Homes and Hospital are so expensive in the US

Baby boomers are about to be the largest generation in American history to hit the long-term care space. Born Between 1946 and 1964, as defined by Pew Research, The oldest baby boomers Are turning 80 next year. The group is set to flood a Senior care space that is alredy undersrstafed, underfunded And Facing Political Uncertainty,

“This space is complete underpared for the number of older adults that are going to need long term care and end of life care,” said David David Grabowski, Professor of Health Care Policy AT HRVARDIL School. “We’ve historically relied Heavily on Families. There’s not going to be the number of family members that we’ve had in the past.”

Now private equity is Increasing to get in on the market. A recent study Found Between 2015 to 2022, 47 Private Equity Firms Bought 124 Us Hospital Agencies. Today an Estimated 75% of Us Hospital Agencies are for-Profit, According to a Study out of the University of pennsylvania,

“Hospital was started as a grassroots, nonprofit movements where the mayority of care, a couple decades back, was provided by strictly non-protrofits,” Said Robert Tyler Braun, Assistanta Division of Health Policy and Economics at Weill Cornel Medicine. “In this current landscape now, the Majority of Hospital Providers are for Profit.”

Nursing homes and long-term care FacILITES Have Long Been An Acquisition Target for Private Equity and Publicly Traded Companies. Data provided to cnbc by co fach

Watch the video Above to learn how these investments are impacting the space, who is investment in it, and what it means for seniors and their families.