USA Skilled Nursing Facility Market to Reach $279.9B by 2035

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The USA Skilled Nursing Facility Market is forecast to grow steadily from $202.4 billion in 2025 to $279.9 billion by 2035, expanding at a CAGR of 3.3%. The market, which generated $194.2 billion in 2024, reflects increasing demand for rehabilitative and long-term care services. Growth is primarily driven by an aging population, evolving reimbursement structures, and technological advancements in patient care.

Why it matters

The skilled nursing facility market is a critical component of the healthcare continuum, providing essential services for an aging population. The projected growth highlights the increasing need for specialized care and the industry's ability to adapt to changing reimbursement models and technological innovations to improve patient outcomes.

The details

Freestanding skilled nursing facilities dominate the market, accounting for 77.1% share in 2024 due to their cost efficiency, operational flexibility, and specialization in rehabilitation and long-term care. For-profit facilities lead with a 74.3% share in 2025, leveraging access to capital, operational efficiency, and financial flexibility to invest in advanced technologies and expand services. The market is heavily driven by long-term care and rehabilitation needs, particularly for patients recovering from surgeries or chronic illnesses.

• The USA Skilled Nursing Facility Market grew from $171.9 billion in 2020 to $194.2 billion in 2024.
• The market reached $202.4 billion in 2025 and is projected to reach $279.9 billion by 2035.

What’s next

The market is expected to continue its steady growth trajectory, with the potential for further expansion through strategic partnerships and technological advancements. Industry players will need to navigate workforce challenges and financial pressures while adapting to evolving reimbursement models and regulatory changes.