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Skilled Nursing Facilities Market Size, Share & Industry Analysis, By Service Type (Post-Acute Skilled Nursing & Rehabilitation Services, Long-Term Skilled Nursing & Chronic Care Services, and High-Acuity & Subacute Nursing Services), By Application (Orthopedic & Musculoskeletal Conditions, Neurological Conditions, Cardiovascular & Pulmonary Conditions, and Post-Surgical Recovery), By Facility Type (Freestanding Skilled Nursing Facilities and Hospital-Based Skilled Nursing Units), By Ownership (Private For-Profit, Private Nonprofit, and Public/Government), and Regional Forecast, 2026-2034

Last Updated: October 06, 2026 | Format: PDF | Report ID: FBI119321

 

Skilled Nursing Facilities Market Size and Future Outlook

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The global skilled nursing facilities market size was valued at USD 500.0 billion in 2025 and is projected to grow from USD 527.75 billion in 2026 to USD 796.98 billion by 2034, exhibiting a CAGR of 5.3% during the forecast period.

Skilled nursing facilities include institutional care providers from post-acute skilled rehabilitation, high-acuity and subacute nursing, long-term skilled nursing and chronic care, specialized cognitive/neurological/behavioral nursing, and facility-based palliative and advanced-illness nursing. The increasing prevalence of chronic conditions, rising demand for post-acute care, advancements in these services, and the expansion of healthcare facilities are resulting in the growing adoption rate of these services in the market. The increasing geriatric population is further boosting the adoption of skilled nursing facilities in the market.

  • For instance, according to 2024 data published by the Centers for Disease Control & Prevention (CDC), approximately 1 in 20 adults has coronary artery disease in the U.S.

Furthermore, the growing focus on service expansion among the major companies, such as Ensign Group, Inc. and Genesis HealthCare are further contributing to the demand for these services in the market.

Growing Integrated Post-Acute Networks Enhances Services Adoption

The rising number of integrated post-acute care networks is emerging as a major trend in the global market. Healthcare settings including hospitals, payers, and skilled nursing facility operators are developing preferred-provider relationships to improve discharge coordination and reduce readmissions. Additionally, facilities with strong quality metrics, rapid admission capability, and digital data exchange are more likely to receive referrals, further encouraging consolidation, and health-system affiliations.

  • For instance, according to 2026 data, it was reported that the Centers for Medicare & Medicaid Services (CMS) awards incentive payments to Skilled Nursing Facilities (SNFs) through the SNF VBP Program to encourage SNFs to improve the quality of care provided to patients.

Market Dynamics

Market Drivers

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Increasing Aging Population to Drive Market Growth

The increasing geriatric population is expected to increase the number of patient visits to the skilled nursing facilities for the management of several chronic conditions, including orthopedic, musculoskeletal, and heart diseases, which is further expected to propel the skilled nursing facilities market growth during the forecast period.

  • For instance, according to 2024 data published by the National Statistics Institute (NSI), the number of people aged 65 and older increased from 6.6% in 1992 to 14% in 2024 in Chile.

This, along with increasing development of health systems and expansion of community nursing facilities and residential nursing facilities, is further driving the adoption rate of these services in the market. Therefore, the factors above, along with the rising focus of key companies on providing novel services, are further likely to contribute to the global market growth.

Market Drivers - Impact & CAGR Contribution (2026–2034)

Rank Market Driver Overall Impact Rank CAGR Contribution (2026-2034) Impact: 2026-2028 Impact: 2029-2031 Impact: 2032-2034
1 Rapid growth of the older population and increasing prevalence of functional dependency and multimorbidity High 2.1% High High High
2 Rising demand for post-acute rehabilitation and medically complex skilled nursing care High 1.7% High High High
3 Expansion of public and private long-term care financing and value-based reimbursement Medium-High 1.4% Medium High High
4 Expansion, consolidation, and modernization of skilled nursing facility capacity Medium 1.2% Medium High High
5 Adoption of digital care technologies and specialized clinical service models Medium-Low 1.1% Medium Medium High
6 Others (declining availability of informal family caregivers, increasing participation of women in the formal workforce, growth of public–private partnerships, hospital–SNF referral partnerships, increasing awareness of formal eldercare, and expansion by multinational care-home operators, etc..) Low 0.9% Low Low Low
Total Positive Growth Contribution 8.40%  

Source: Fortune Business Insights

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Market Restraints

Limited Number of Nursing Staff to Hamper Market Growth

The shortage of qualified nursing professionals is expected to restrain the growth of the market during the forecast period. Skilled nursing settings require trained staff and specialists to ensure accurate provision of services among to patients. However, the limited availability of skilled professionals is hampering facilities' ability to expand service capacity despite the growing demand for nursing services. Limited availability of staff is resulting in limited admissions in skilled nursing facilities, thereby hampering the adoption rate of these services in the market.

  • For instance, according to the 2026 statistics published by the IOL, it was reported that there are only 157,097 registered nurses in South Africa.

Market Restraints - Impact & Negative CAGR Contribution (2026–2034)

Rank Market Restraints Overall Impact Rank Negative CAGR Contribution (2026-2034) Impact: 2026-2028 Impact: 2029-2031 Impact: 2032-2034
1 Persistent shortages of nurses, nursing assistants, therapists, and other skilled care personnel High -1.2% High High High
2 High operating, capital, and regulatory-compliance costs Medium-High -0.9% High High Medium
3 Affordability and reimbursement pressure, together with substitution by home- and community-based care Medium -0.6% Medium Medium High
4 Others (litigation and liability exposure, infectious disease and occupancy volatility, high borrowing and construction costs, zoning restrictions, fragmented regulation, delayed licensing, reputational risks and competition from alternative senior-care settings, etc.) Low -0.4% Low Low Low
Total Negative Growth Impact -3.10%  

Source: Fortune Business Insights

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Market Opportunities

Expansion in Healthcare Infrastructure to Create Growth Opportunities

The expansion of healthcare infrastructure in emerging countries presents a strong growth opportunity for the global market. There is an increasing development of structured skilled nursing facilities, trained professionals, and beds in emerging countries, including Brazil, China, and others. Moreover, growing healthcare expenditure, is resulting in increasing demand for these services in the market.

  • According to 2024 data published by the Government of China, the medical and health institutions have 10.37 million beds in China.

Market Challenges

Limited Healthcare Access in Developing Countries to Hamper Market Growth

There is a growing demand for innovative post-acute care and rehabilitation services among the patient population. However, limited healthcare access in emerging nations remains a key challenge for the global market. The lack of well-organized healthcare facilities, trained professionals, and adequate reimbursement is resulting in delayed post-acute care, especially during cardiac emergencies, respiratory distress, and other time-sensitive conditions, thereby limiting the adoption of these services in the market.

  • For instance, according to 2023 data published by The World Bank Group (WBG), approximately 4.5 billion people lack full access to essential health services globally.

SEGMENTATION ANALYSIS

By Service Type

Increasing Geriatric Population Led to Long-Term Skilled Nursing and Chronic Care Services Segment Dominance

Based on service type, the market is classified into post-acute skilled nursing and rehabilitation services, long-term skilled nursing and chronic care services, high-acuity and subacute nursing services, specialized cognitive, neurological and behavioral nursing services, and palliative and advanced illness nursing services.

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The long-term skilled nursing and chronic care services segment held the largest revenue share in 2025. The growth is due to the long-stay residents generating recurring occupied-bed days and requiring continuous nursing, medication management, personal support, and chronic-disease monitoring. This, coupled with an increasing geriatric population, is further anticipated to contribute to the global market growth.

  • For instance, according to 2024 data published by the World Bank Group, people aged 65 and above accounted for 15% of China's population.

The specialized cognitive, neurological, and behavioral nursing services segment is expected to grow at a CAGR of 5.2% over the forecast period.

By Application

Increasing Number of Surgeries Led to Dominance of Post-Surgical and General Medical Recovery Segment

Based on application, the market is segmented into orthopedic and musculoskeletal conditions, neurological conditions, cardiovascular and pulmonary conditions, post-surgical and general medical recovery, and others.

The post-surgical and general medical recovery segment dominated the global market and held a share of 26.0% in 2025. The growth is due to the increasing number of surgical procedures, resulting in a growing demand for nursing, therapy, and medication management, thereby contributing to the segmental growth in the market.

  • For instance, according to the 2020 data published by the National Center for Biotechnology Information (NCBI), about 310 million major surgical procedures are performed every year globally.

The cardiovascular and pulmonary conditions segment is set to flourish with a growth rate of 4.9% across the forecast period.

By Facility Type

Increasing Number of Freestanding Skilled Nursing Facilities Led to Dominance of Segment

Based on facility type, the market is segmented into freestanding skilled nursing facilities, hospital-based skilled nursing units, and others.

The freestanding skilled nursing facilities segment dominated the global market share of 77.5% in 2025. The growth is due to increasing dedicated nursing-home and SNF beds globally in these facilities. Furthermore, larger scale than hospital units and provision of short-stay rehabilitation and long-stay nursing is also boosting the adoption rate, thereby contributing to the segmental growth in the market.

The hospital-based skilled nursing units segment is set to flourish with a growth rate of 6.2% across the forecast period.

By Ownership

Specialty Programs Led to Private for-Profit Segmental Dominance

Based on ownership, the market is segmented into private for-profit, private nonprofit, public/government, and others.

The private for-profit segment dominated the market in 2025, representing the largest ownership category globally, driven by its strong presence in the U.S., U.K., Australia, and increasingly in parts of Asia and Latin America. Moreover, greater access to acquisition capital and scaling of standardized systems, digital platforms, and specialty programs are some of the crucial factors contributing to the growth of the segment in the market. Furthermore, the segment is set to hold a 55.6% share in 2026.

In addition, public/government segment is projected to grow at a 4.6% CAGR during the forecast period.

Skilled Nursing Facilities Market Regional Outlook

Based on region, the market has been studied across North America, Europe, Asia Pacific, Latin America, and the Middle East & Africa.

North America

North America Skilled Nursing Facilities Market Size, 2025 (USD Billion)

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The North American market held the dominant share in 2024, valued at USD 213.80 billion, and also took the leading share in 2025 with USD 224.50 billion. The growing prevalence of chronic conditions, increasing number of nursing homes, improved clinical nursing care, increasing healthcare expenditure, among others, are some of the factors contributing to the growth of the segment in the market.

  • For instance, according to 2024 statistics published by the Centers for Medicare & Medicaid Services (CMS), the healthcare expenditure is USD 5.3 trillion in the U.S.

U.S. Skilled Nursing Facilities Market

Based on North America’s strong contribution and the U.S. dominance within the region, the U.S. market can be analytically approximated at around USD 215.45 billion in 2026, accounting for roughly 40.8% of global sales.

Europe

Europe is projected to record a growth rate of 4.7% in the coming years, which is the second highest among all regions, and reach a valuation of USD 151.81 billion by 2026. The growing prevalence of chronic conditions and availability of 24-hour nursing care services is likely to support the market growth.

U.K. Skilled Nursing Facilities Market

The U.K. market is estimated at around USD 25.67 billion in 2026, representing roughly 4.9% of global revenues.

Germany Skilled Nursing Facilities Market

Germany’s market is projected to reach approximately USD 32.95 billion in 2026, equivalent to around 6.2% of global sales.

Asia Pacific  

Asia Pacific is estimated to reach USD 115.11 billion in 2026 and secure the position of the third-largest region in the market. The expanding skilled nursing facility capacity, and increasing focus on provision of specialized nursing care are likely to support the growth of the market.

Japan Skilled Nursing Facilities Market

The Japanese market is estimated at around USD 42.86 billion in 2026, accounting for roughly 8.1% of global revenues. Japan has historically reported a relatively high prevalence of chronic diseases, with a large demand for nursing services.

China Skilled Nursing Facilities Market

China’s market is projected to be one of the largest globally, with 2026 revenues estimated at around USD 33.59 billion, representing roughly 6.4% of global sales.

India Skilled Nursing Facilities Market

The Indian market size is estimated at around USD 5.52 billion in 2026, accounting for roughly 1.0% of global revenues.

Latin America and Middle East & Africa

The Latin America and Middle East & Africa regions are expected to witness moderate growth in this market during the forecast period. The Latin America market is set to reach a valuation of USD 13.44 billion in 2026. The growth is supported by the gradual growth tied to public healthcare investment in the region. The Middle East & Africa are also expected to grow due to the growing number of key companies focusing on offering specialized care services in the market.

GCC Skilled Nursing Facilities Market

The GCC market is set to reach a value of USD 3.79 billion in 2026.

South Africa Skilled Nursing Facilities Market

South Africa’s market is projected to reach around USD 2.13 billion in 2026, representing roughly 0.4% of global revenues.

Competitive Landscape

Key Industry Players

Increasing Number of Acquisitions by Key Players to Support their Dominance

A significant services portfolio, along with a strong focus on inorganic growth strategies globally, is one of the prominent factors supporting the dominance of these companies in the market. PACS Group, Inc. and The Ensign Group, Inc., are major companies in the market. Furthermore, the growing focus of key companies on the expansion of service provision is likely to strengthen their presence, further contributing to the global Skilled Nursing Facilities market share.

  • For instance, in December 2024, PACS Group, Inc. acquired 11 skilled nursing facilities in Tennessee with an aim to strengthen its presence.

Other key players, including emeis, S.A., and others, are also growing in the market, primarily due to their growing focus on acquisitions and collaborations among other companies to strengthen their presence in the market.

List of Key Skilled Nursing Facilities Companies Profiled in Report

KEY INDUSTRY DEVELOPMENTS

  • May 2026: PACS Group, Inc. acquired the operations of the post-acute care facility Ridgeway Senior Living in Anchorage, Alaska.
  • April 2026: The Ensign Group, Inc., the parent company of the EnsignTM group of companies, acquired the real estate and operations of the skilled nursing and senior living facilities in Willow Park Rehabilitation and Care Center, Southern Oaks Therapy and Living Center, and River Hills Health and Rehabilitation Center.
  • October 2023: HC-One acquired Ideal Carehomes from Warwick Capital Partners and LNT Group. This helped the company strengthen its brand presence.
  • June 2022: Clariane, the European community in care, healthcare, and hospitality, signed a new development partnership with the Banque des Territoires in France to accompany the development of its healthcare network in France.
  • February 2022: The Ensign Group, Inc. acquired the operations of Arrowhead Springs Healthcare and Desert Mountain Care Center skilled nursing facilities in California.

REPORT COVERAGE

The report provides a detailed global skilled nursing facilities market analysis and focuses on key aspects such as leading companies and market segmentation, including service type, application, facility type, and ownership. Besides this, the global report offers insights into the market growth trends and highlights key industry developments. In addition to the aforementioned factors, the report encompasses several factors that have contributed to the growth and advancement of the market over recent years.

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Report Scope & Segmentation

ATTRIBUTE DETAILS
Study Period 2021-2034
Base Year 2025
Estimated Year  2026
Forecast Period 2026-2034
Historical Period 2021-2024
Growth Rate CAGR of 5.3% from 2026-2034
Unit Value (USD Billion)
Segmentation By Service Type, Application, Facility Type, Ownership, and Region
By Service Type  
  • Post-Acute Skilled Nursing and Rehabilitation Services
  • Long-Term Skilled Nursing and Chronic Care Services
  • High-Acuity and Subacute Nursing Services
  • Specialized Cognitive, Neurological and Behavioral Nursing Services
  • Palliative and Advanced Illness Nursing Services
By Application
  • Orthopedic and Musculoskeletal Conditions
  • Neurological Conditions
  • Cardiovascular and Pulmonary Conditions
  • Post-Surgical and General Medical Recovery
  • Others
By Facility Type
  • Freestanding Skilled Nursing Facilities
  • Hospital-Based Skilled Nursing Units
  • Others
By Service Provider
  • Private For-Profit
  • Private Nonprofit
  • Public/Government
  • Others
By Region
  • North America (By Service Type, By Application, By Facility Type, By Ownership, and By Country)
    • U.S. (By Facility Type)
    • Canada (By Facility Type)
  • Europe (By Service Type, By Application, By Facility Type, By Ownership, and By Country/Sub-region)
    • U.K. (By Facility Type)
    • Germany (By Facility Type)
    • France (By Facility Type)
    • Italy (By Facility Type)
    • Spain (By Facility Type)
    • Scandinavia (By Facility Type)
    • Rest of Europe (By Facility Type) 
  • Asia Pacific (By Service Type, By Application, By Facility Type, By Ownership, and By Country/Sub-region)
    • China (By Facility Type)
    • Japan (By Facility Type)
    • India (By Facility Type)
    • Australia (By Facility Type)
    • Southeast Asia (By Facility Type)
    • Rest of Asia Pacific (By Facility Type)
  • Latin America (By Service Type, By Application, By Facility Type, By Ownership, and By Country/Sub-region)
    • Brazil (By Facility Type)
    • Mexico (By Facility Type)
    • Rest of Latin America (By Facility Type)
  • Middle East & Africa (By Service Type, By Application, By Facility Type, By Ownership, and By  Country/Sub-region)
    • GCC (By Facility Type)
    • South Africa (By Facility Type)
    • Rest of the Middle East & Africa (By Facility Type)

Research Methodology

1. Bottom Up Approaches

Approach 1: Revenues and Market Share of Major Skilled Nursing Facility Operators

  • Collection of skilled nursing and institutional care revenues from annual reports, audited financial statements, SEC filings, investor presentations, earnings releases, and company websites of major operators such as PACS Group, The Ensign Group, emeis, Clariane, DomusVi, Colisée, Genesis HealthCare, HC-One, Care UK, and others.
  • Isolation of in-scope revenues by excluding assisted living, independent living, home healthcare, external hospice, pharmacy, real estate, and other non-qualifying activities.
  • Estimation of company market shares based on skilled nursing revenues, operational facilities, qualifying beds, occupancy, resident days, service mix, payer mix, and geographic presence.
  • Triangulation of company-level revenues with national facility capacity, reimbursement rates, utilization, and institutional long-term care expenditure to estimate the global market.

Approach 2: Bed Capacity, Occupancy and Revenue per Occupied Bed-Day Analysis

  • Collection of country-level data on registered facilities, licensed beds, operational skilled nursing beds, occupancy rates, admissions, resident days, and average length of stay.
  • Segregation of beds across freestanding skilled nursing facilities, hospital-based skilled nursing units, and other qualifying institutional nursing settings.
  • Calculation of occupied bed-days using operational beds multiplied by occupancy and 365 days.
  • Application of country-specific net revenue per occupied bed-day, including public reimbursement, insurance payments, resident contributions, accommodation charges, and facility-retained ancillary revenue.
  • Aggregation of country-level estimates to derive regional and global market values.

Approach 3: Payer Reimbursement and Institutional Expenditure Analysis

  • Assessment of public, social insurance, private insurance, managed-care, and out-of-pocket expenditure on institutional skilled nursing and long-term nursing care.
  • Isolation of qualifying skilled nursing expenditure from home care, community care, assisted living, residential-only care, acute hospital care, hospice, and unpaid informal care.
  • Analysis of country-specific reimbursement systems, including per-diem, case-mix, acuity-adjusted, bundled, capitated, and means-tested payment models.
  • Adjustment for resident accommodation and meal payments, private-pay activity, government subsidies, and facility-retained clinical and ancillary services.
  • Comparison of expenditure-derived estimates with operator-revenue and occupied-bed-day calculations.

2. Top Down Approaches

Approach 1: Analysis of Parent Institutional Long-Term Care Markets

  • Analysis of national healthcare, social care, aged-care, long-term care, and institutional nursing expenditure across major countries.
  • Estimation of the proportion of total long-term care expenditure attributable to facility-based care and, subsequently, to facilities providing a substantial skilled nursing or clinical care component.
  • Adjustment for the exclusion of home- and community-based care, assisted living, residential-only care, informal care, acute hospitals, inpatient rehabilitation, and standalone hospice services.
  • Validation of regional estimates using population ageing, functional dependency, nursing-bed density, institutionalization rates, healthcare expenditure, reimbursement coverage, and private-pay penetration.
  • Summation of country and regional market values to estimate the global skilled nursing facilities services market.

3. List of Key Sources

  • Government and reimbursement sources: CMS, Medicare and Medicaid datasets, U.S. state health departments, Statistics Canada, CIHI, NHS England, CQC, Eurostat, national European health ministries, Japan MHLW, China NHSA/NHC/Ministry of Civil Affairs, India MoHFW and NITI Aayog, Australian Department of Health and AIHW.
  • Global organizations: OECD, WHO, World Bank, United Nations, International Labour Organization, and International Social Security Association.
  • Industry associations: AHCA/NCAL, LeadingAge, European Ageing Network, Care England, Ageing Australia, and national nursing-home and post-acute care associations.
  • Company sources: Annual reports, audited financial statements, SEC and national securities filings, investor presentations, earnings releases, facility directories, acquisition announcements, and regulatory disclosures.
  • Market validation inputs: Facility openings and closures, licensed and operational bed additions, occupancy, resident days, reimbursement revisions, private-pay fee changes, staffing trends, quality indicators, hospital referral patterns, and M&A activity.

4. Primary Interviews

Supply Side Interviews: 60%

  • Key respondents: Skilled nursing facility operators, facility administrators, nursing directors, rehabilitation managers, finance executives, industry associations, investors, transaction advisers, and healthcare consultants.
  • Interviews are used to validate facility and bed counts, occupancy, revenue per occupied bed-day, service mix, payer mix, staffing constraints, reimbursement trends, operator revenues, and competitive positioning.

Demand Side Interviews: 40%

  • Key Respondents: Hospital discharge planners, physicians, rehabilitation specialists, public and private payers, long-term care insurance authorities, resident-care coordinators, and government or regulatory stakeholders.
  • Interviews are used to assess admission patterns, hospital-to-SNF referrals, resident eligibility, care-acuity requirements, length of stay, payer authorization, reimbursement coverage, resident contributions, and substitution from home- and community-based care.
 


Frequently Asked Questions

Fortune Business Insights says that the global market size was USD 500.0 billion in 2025 and is projected to reach USD 796.98 billion by 2034.

In 2025, North America’s market value stood at USD 224.50 billion.

Growing at a CAGR of 5.3%, the market will exhibit steady growth over the forecast period.

The long-term skilled nursing and chronic care services is the leading segment in this market.

The introduction of novel skilled nursing facilities is one of the major factors driving the market's growth.

PACS Group, Inc., and The Ensign Group, Inc., are the major players in the global market.

North America dominated the market share in 2025.

The growing prevalence of chronic conditions, growing demand for nursing services, are some of the key factors expected to boost the adoption of these products globally.

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  • 2025
  • 2021-2024
  • 261
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