Michigan Nursing Home Costs Soar, Outpacing National Averages

New data shows Michigan residents pay nearly twice the median household income for nursing home care.

Published on Mar. 2, 2026

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A new report highlights the rising costs of nursing home care in Michigan, with the median cost for a private room reaching $143,628 in 2025 - over 11% higher than the national median of $129,575. The cost for a semi-private room in Michigan was $135,050, over 17% more than the national median of $114,975. Experts cite factors like Michigan's aging population and high staff turnover as driving the increasing costs, which are putting a strain on both families and the state's Medicaid budget.

Why it matters

The high and rising costs of nursing home care in Michigan are a growing concern, as they put a significant financial burden on residents and the state. With nearly 1 in 5 Michiganders already aged 65 or older, the demand for long-term care is only expected to increase. These costs fuel calls for more affordable alternatives to traditional nursing homes, such as in-home care and community-based programs.

The details

The median cost for a private room in a Michigan nursing home was $143,628 in 2025, according to the Cost of Care Survey by CareScout. This is nearly twice the median household income in the state. The cost for a semi-private room was $135,050, over 17% higher than the national median of $114,975. Experts cite factors like Michigan's aging population, high staff turnover, and increased scrutiny of nursing homes during COVID-19 as driving the rising costs.

  • The Cost of Care Survey data is from 2025.
  • Michigan's nursing home costs have been higher than the national average for years.

The players

CareScout

A company that has tracked long-term care cost trends for years and conducted the Cost of Care Survey.

Samir Shah

CEO of CareScout, who commented on the factors driving the rising nursing home costs in Michigan.

Stephanie Winslow

Executive director of the PACE Association of Michigan, who said the next generation of long-term care consumers will demand better alternatives to traditional nursing homes.

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What they’re saying

“You have a bit of a trifecta happening where all of these drivers are working in opposite directions. You need more care. You have less care. And the care that is there is asking for more money.”

— Samir Shah, CEO, CareScout (Bridge Michigan)

“This is a different generation. They don't accept the status quo. They're looking for better alternatives.”

— Stephanie Winslow, Executive Director, PACE Association of Michigan (Bridge Michigan)

What’s next

Policymakers and long-term care providers in Michigan will likely continue to explore more affordable and innovative alternatives to traditional nursing home care to meet the growing demand and address the high costs.

The takeaway

The skyrocketing costs of nursing home care in Michigan, which now far exceed the national average, underscore the urgent need for more affordable long-term care options. As Michigan's population continues to age, finding solutions to this challenge will be crucial for ensuring seniors can access the care they need without facing financial ruin.