Buyers also committed less money to deals. Q2 2020 spending on senior housing and care acquisitions totaled $1.35 billion, a 50% drop from Q1 2020′s $2.7 billion. While a 50% drop is bleak, the market should prepare for drearier days, Irving Levin Associates noted.

"Because of the way dealmaking also petered out from the 22 deals in April to 20 in May and then to just 17 transactions in June, the third quarter may slow even more," Swett cautioned.

Of the acquisitions announced in Q2 2020, two deals by Welltower accounted for 60% of the quarter's total dollar volume, Irving Levin Associates reported. Welltower sold two senior housing portfolios for roughly $500 million and $300 million. Welltower's first transaction included seven Discovery Senior Living-operated senior living communities in Florida, which Kayne Anderson Real Estate Advisors purchased. Welltower also sold six Midwest-based senior living communities operated by Senior Star.

Though acquisitions are in a slump, Irving Levin Associates noted skilled nursing transactions jumped to 44% in Q2. Still, while senior housing comprised most transactions, Swett questioned if COVID-19 could have longstanding adverse impact on nursing and senior living communities.

"Nationally, skilled nursing facilities have so far seen more dramatic declines in census, due to the postponement of elective surgeries and the fact that they care for a frailer and more medically complex patient population," according to prepared remarks by Swett. "But seniors housing communities have also suffered from declining occupancy, and questions about how long-term demand for these property types will change following COVID-19 still remain."