LANSING, MI (WOWO) Michigan residents are paying more than most Americans for nursing home care, according to newly released national data.
The 2025 Cost of Care Survey conducted by CareScout shows the median cost of a private nursing home room in Michigan reached $143,628 last year. Nationally, the median cost was $129,575. The gap is even wider for semi-private rooms, with Michigan’s median at $135,050 compared to $114,975 across the country.
The findings were detailed in reporting by Bridge Michigan.
CareScout CEO Samir Shah says several factors are driving the higher prices, including Michigan’s rapidly aging population and ongoing staffing shortages in long-term care facilities. Nearly one in five Michigan residents is 65 or older, increasing demand for services. At the same time, higher wages and turnover in the workforce have added to operational costs.
“You need more care. You have less care. And the care that is there is asking for more money,” Shah told Bridge Michigan.
The report also highlights wide regional differences, with private room costs ranging from around $100,000 annually in the Jackson area to more than $160,000 in the Ann Arbor and Lansing regions.
Much of the expense is supported by taxpayer dollars. Michigan nursing homes receive an estimated $3 billion annually in Medicaid funding, covering care for lower-income residents and those who have exhausted their assets.
Rising costs and concerns about quality have prompted some advocates to push for alternatives, including home-based services, Green House homes and Programs of All-Inclusive Care for the Elderly, known as PACE.
Long-term care experts say demand for more flexible and affordable options is likely to grow as more residents age into retirement.
