Housing Costs Weigh on Older Homeowners as Only 28% Expect Finances to Improve

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Rising living and housing costs are weighing on older U.S. homeowners, with only 28% expecting their financial position to improve over the next year, according to new national research released by Longbridge Financial.

The first findings from the 2026 Longbridge Financial Home Equity Confidence Index are based on a Morning Consult survey of 2,021 U.S. homeowners age 55 and older conducted March 26 through April 5. Longbridge said the survey was conducted without reference to the company and was designed to represent a broad cross-section of older homeowners by age, region, income and education.

Inflation and the rising cost of living were cited as a major financial concern by 67% of respondents. Healthcare costs followed at 43%. Housing expenses were also prominent: 38% cited property taxes, 38% home maintenance and 26% homeowners insurance. Nine in 10 respondents identified at least one of the financial concerns measured.

Most expect little financial improvement

Twenty-eight percent of surveyed homeowners expect to be better off financially over the coming year. Forty-four percent expect their circumstances to remain about the same, 23% expect to be worse off and 5% said they did not know.

Income produced large differences in longer-term confidence. Longbridge reported that 76% of homeowners with household incomes of at least $100,000 felt confident about their long-term financial security, compared with 58% of households earning $50,000 to $100,000 and 39% of those below $50,000.

The gap also extended to everyday expenses and retirement lifestyle. Eighty-six percent of respondents earning at least $100,000 said they were confident they could cover day-to-day costs, compared with 57% of respondents below $50,000. Confidence about affording leisure and travel in retirement was 79% among the higher-income group and 36% among the lower-income group.

Housing pressures differ by gender

The survey also found differences between women and men. Home maintenance was cited as a major concern by 45% of women and 31% of men. Women were also more likely to identify homeowners insurance, inflation and debt payments as concerns.

“The financial pressure we’re seeing among older homeowners isn’t uniform,” Longbridge CEO Chris Mayer said in the release, emphasizing the differences by household income and gender.

The results are particularly relevant to the mortgage industry because Longbridge is a lender and servicer focused on older homeowners and home-equity products. That commercial context matters when interpreting the research: the survey documents homeowner sentiment, not actual future borrowing demand, and it should not be read as evidence that respondents will use reverse mortgages or other equity products.

Longbridge said additional findings from the index will be released in a series examining how older homeowners view their finances, home equity and ways of accessing it.