U.S. Home Healthcare Market is estimated to be valued at USD 26.59 Bn in 2025 and is expected to reach USD 40.78 Bn in 2032, exhibiting a compound annual growth rate (CAGR) of 6.3% from 2025 to 2032.
The U.S. Home Healthcare market is experiencing strong growth due to the rise in burden of chronic diseases and growing geriatric (aging) population in the U.S. Moreover, increasing demand for better healthcare services and increase in preference for personalized care is expected to boost growth of the market.
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The U.S. Home Healthcare market is increasingly shaped by the rapid integration of telehealth technologies, enabling more efficient, accessible, and cost-effective care delivery. Telehealth platforms allow healthcare providers to conduct virtual consultations, monitor patients remotely, and adjust treatment plans without requiring frequent in-person visits. This integration is particularly beneficial for managing chronic conditions such as diabetes, heart disease, and COPD, where continuous monitoring and timely interventions are critical. The use of remote patient monitoring (RPM) devices, wearable sensors, and AI-driven analytics helps detect health anomalies early, reducing hospital readmissions and improving patient outcomes.
For instance, in July 2025, Four U.S. health systems spotlighted at the AHA Leadership Summit have demonstrated the effectiveness of hospital-at-home and behavioral telehealth models in improving outcomes, reducing readmissions and expanding equitable access, the American Hospital Association. Advocate Health rolled out its program in just ten days during the pandemic, now serving over 16,500 patients across 12 facilities, cutting readmissions to 0.93%. Mass General Brigham achieved a 7% 30-day readmission rate well below the 23% seen in traditional hospitals and earned patient satisfaction scores exceeding Apple’s. Ohio State’s program lowered readmissions and achieved 95% patient satisfaction, while Iris Telehealth cut psychiatric ED wait times by 60% and improved depression outcomes by 38%
In terms of equipment, the therapeutic equipment segment is expected to dominate the market with 40.0% share in 2025, due to a growing elderly population, increasing chronic illnesses, and the shift toward cost-effective, value-based care. Devices like oxygen concentrators, CPAP machines, and mobility aids enable effective treatment at home, reducing hospital readmissions. Technological advancements in portable, user-friendly equipment and telehealth integration further boost adoption and improve patient convenience.
For instance, in June 2025, Inogen, Inc. unveiled the Voxi 5, a new stationary oxygen concentrator (SOC) tailored for long-term care patients in the U.S. The device delivers continuous flow oxygen at 1-5 L/min, combining quiet operation, compact design with lockable caster wheels, and medical-grade purity (87–96%). It features an eight-layer internal filtration pathway and comes with a 3-year sieve bed warranty, offering a durable and affordable home oxygen solution.
In terms of services, the skilled home healthcare services segment is expected to dominate the U.S. Home Healthcare market in 2025. Hospitals in the U.S. are driving demand for skilled home healthcare services due to the aging population, rising chronic diseases, and the need for post-acute care that reduces hospital readmissions. Skilled services such as nursing, therapy, and wound care enable faster recovery, improve patient outcomes, and free hospital capacity. Value-based care models further encourage shifting complex treatments to home settings, while telehealth and remote monitoring technologies enhance efficiency and reach of skilled providers. This combination of demographic, clinical, and technological factors is making skilled home healthcare an essential part of the U.S. healthcare system.
For instance, in April 2025, Hackensack Meridian Health, New Jersey’s largest health network, teamed up with Equum Medical and AvaSure to roll out a Virtual Nursing Program designed to improve patient care and support bedside staff. The initiative integrates virtual nurses to assist with admissions, mentoring, and discharge support, allowing on-site clinicians to focus on high-acuity care.
| Report Coverage | Details | ||
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| Base Year: | 2024 | Market Size in 2025: | USD 26.59 Bn |
| Historical Data for: | 2020 To 2024 | Forecast Period: | 2025 To 2032 |
| Forecast Period 2025 to 2032 CAGR: | 6.3% | 2032 Value Projection: | USD 40.78 Bn |
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| Companies covered: |
Medline Industries Inc., Medtronic Plc, 3M Healthcare, Baxter International Inc., B. Braun Melsungen AG, Hoffman-La Roche AG, and Nxstage Medical (Fresenius Medical Care) |
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One of the key factors expected to augment growth of the U.S. Home Healthcare market during the forecast period is the rise in burden of chronic diseases in the region. Such a high burden of chronic diseases leads to an increase in demand for home healthcare services and is expected to boost the market growth. According to the U.S. Centers for Disease Control and Prevention (CDC), chronic diseases, such as heart disease, cancer, and diabetes, are the leading causes of death and disability in the United States. Moreover, 6 in 10 individuals in the U.S. live with at least one chronic disease, like heart disease and stroke, cancer, or diabetes. An estimated 129 million people in the US have at least 1 major chronic disease, such as heart disease, cancer, diabetes, obesity, hypertension, as defined by the US Department of Health and Human Services.
Another factor which is driving growth of the U.S. Home Healthcare market is the growing geriatric (aging) population in the U.S. For instance, the population is aging rapidly due to a decrease in the birth rate and increase in life expectancy, and may result in high prevalence of chronic diseases, which in turn increases demand for home health services/solutions. According to the U.S. Census Bureau, more than 56 million adults ages 65 and older live in the U.S., accounting for about 16.9% of the nation’s population. Moreover, the total number of adults ages 65 and older is projected to rise to an estimated 85.7 million by 2050 (22% of the overall population), further enhancing the U.S. home healthcare market share.
The U.S. home healthcare market is set to benefit significantly from policy and technology advancements in 2025. The proposed legislation (S.2237/H.R.4313) to extend the Hospital-at-Home model through 2030 represents a major step toward transforming healthcare delivery by enabling patients to receive acute, hospital-level care in their own homes. This initiative can help reduce hospital overcrowding, lower treatment costs, improve patient comfort, and allow hospitals to focus resources on the most critical cases.
At the same time, AI-powered tools and remote patient monitoring (RPM) are revolutionizing home-based care. Wearable sensors, connected devices, and AI-driven analytics enable continuous tracking of vital signs, early detection of health deterioration, personalized treatment planning, and reduced hospital readmissions. These technologies are particularly valuable in managing chronic conditions such as diabetes, heart failure, and COPD, key drivers of home healthcare demand in the U.S.
For instance, in June 2025, Prevounce Health, a leader in remote care management, unveiled its new AI Insights feature. Powered by trained generative AI, the functionality analyzes RPM device readings alongside CCM and APCM clinical notes to deliver intelligent health summaries and care recommendations directly within patient charts.
With the burden of chronic diseases increasing and healthcare infrastructure and resources limited, home healthcare can help meet a portion of the current healthcare need/requirement. For instance, in March 2025, ResMed, the health-technology leader in sleep, breathing, and home care, today introduced a bold brand evolution consolidating its product and service portfolio under a single “ResMed” identity. Building on its 35-year legacy of innovation from CPAP to pioneering cloud-connected digital health, the company’s refreshed visual identity, logo, and brand voice aim to boost accessibility and consumer engagement.
With the help of at-home, self-administered testing kits or solutions, players in the market are able to support chronic and preventive care virtually and in patients' homes while facilitating patient-centric primary care experiences for a wider range of medical conditions. Thus, there is an increase in demand for such home-use equipment. This trend is also expected to continue over the forecast period, driving the growth of the U.S. Home Healthcare market. For instance, in August 2025, Nonin Medical launched the Nonin Health platform, a cloud-based solution enabling self-testing of overnight pulse oximetry at home. Patients connect the trusted WristOx2 Model 3150 via Bluetooth to an Android or iOS app, conducting overnight SpO₂ tests with minimal hassle.
The U.S. Home Healthcare Market value is demonstrating a pronounced shift toward technologically integrated, outcome-driven care models, which is reshaping patient management and provider operations alike. A significant driver of this transformation is the adoption of remote patient monitoring (RPM) and connected care platforms. For instance, nearly 28% of Medicare Advantage plans have integrated RPM services in 2024, emphasizing proactive intervention and chronic disease management. Providers leveraging AI-enabled analytics are observing measurable reductions in hospital readmissions, with some large-scale programs reporting up to a 22% decline in 30-day readmissions among congestive heart failure and COPD patients.
The rising incorporation of specialized nursing and therapy services within home settings. Agencies investing in targeted clinical expertise, such as post-surgical orthopedic care, are achieving higher patient satisfaction and lower costs per episode, reflecting a growing recognition that quality outcomes are increasingly tied to clinician specialization rather than generic home care services.
Furthermore, payer strategies are beginning to favor value-based reimbursement models, which inherently incentivize measurable patient outcomes over service volume. Health systems experimenting with bundled payments for home care interventions have reported an average cost reduction of 15–18% in post-acute care episodes, indicating that sophisticated home healthcare models can meaningfully reduce systemic healthcare expenditure while maintaining quality standards.
Interviews with home healthcare providers, visiting nurse agencies, telehealth service providers, medical device suppliers, hospital discharge planners, insurance payers, and procurement heads across leading U.S. states.
*Definition: Home healthcare refers to a wide range of healthcare services that can be given in at home for illness or injury. These services include various equipment and therapies along with software to help the physicians to plan efficient treatment procedures in the home-care settings.
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About Author
Manisha Vibhute is a consultant with over 5 years of experience in market research and consulting. With a strong understanding of market dynamics, Manisha assists clients in developing effective market access strategies. She helps medical device companies navigate pricing, reimbursement, and regulatory pathways to ensure successful product launches.
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