Not Your Parents' Retirement Community

There may come a time when you will need to consider downsizing to a safer, more secure housing situation. And, as you probably already have realized, senior housing of the New Millennium has evolved immensely in the last 20 years. Having the right information about the options available will make all the difference in whether you or someone you care about transitions successfully.

It is important to find the right senior housing option as this will allow a senior to have the appropriate level of support and care. Factors such as the senior’s health and financial situation are critical to the decision since there are so many levels of care, each with different service and payment options.

Here is an outline of some senior housing options and their features:

Independent Living. As the name suggests, this type of apartment (or mobile park) living is for independent and active adults interested in recreation and social opportunities. Residents usually have little or no healthcare needs. Some independent communities offer meals, but many are set up for seniors with full independence. Programs differ greatly. Another attractive feature of these communities is that many offer an activity calendar, including in-house events and off-site adventures. Pricing depends on if the apartment includes meal plans or if you are eligible for subsidized housing programs. These are most commonly paid for with private funds.

Assisted Living. These communities are designed for people who do not need care 24 hours a day, but require some assistance with their Activities of Daily Living (ADL), which might include getting dressed, bathing or prescription management. The apartments include bedrooms, kitchenettes (no oven or stove) and living areas and a meal plan. The cost for this option depends on the resident's health needs is significantly higher than independent living and is paid for most often by private funds or long-term care insurance.

Adult Family Homes. This option is very similar to assisted living communities, but on a much smaller scale. Adult family homes are typically located in residential areas. These single family homes have been remodeled into a property that will house up to six residents. Typically, there is a nurse on staff to assist with ADL’s and other health needs. Three meals a day will be served as well as light activities. Prices will below assisted living facilities. 

Memory Care. Memory care communities can be either free-standing property or a part of an assisted living situation. These will typically offer everything Assisted Living offers but in a much more secure environment and much higher “staff to resident” ratio. When considering a Memory Care situation, safety, supervision and structured activities should be made a high priority. Memory care housing is more than assisted living, depending on the resident’s needs and level of needed care. 

Continuing Care Retirement Communities (CCRCs) offer a full range of benefits including independent living, assisted living, memory care and skilled nursing. As an individual’s healthcare needs change, he or she can remain on the property but transfer to the next level of care needed, allowing a person to “age in place.” This type of community may have a hefty upfront buy-in and then a significant monthly fee: entrance fees and monthly rates vary tremendously.   It is very important to note, there is a wide range of pricing for CCRC properties based on services offered, square footage, view and location in the community. Because of the significant financial obligation of the style of community, I strongly suggest, when you’ve decided on a particular type of community, to have an estate attorney review all documents. The most common form of payment is private funds. 

My greatest hope is that this article will give you some clarity as to features and financial considerations of each style of retirement community. But truly the best way to find yourself your next home is to go out with a friend or family member and tour as many communities as possible in the neighborhoods that you are most interested in. Happy touring!

Kirk Vaux is a Senior Real Estate Specialist at Windermere Real Estate/ East Inc. For more information, visit kirkvaux.com.

MORE INFORMATION

Tips & Questions When Considering a Retirement Community

Cost – According to the U.S. Department of Labor, no more than 60% of your income (or combined income for a couple) should go toward supporting you in a retirement community. Consider entrance fees and monthly costs. Is this a non-profit or for-profit facility? Are any subsidies available? Do you have long-term care insurance, pension benefits or other resources to help with these costs? Be sure you know all services that are (and are not) provided for your monthly fee. TIP: Total all of your current monthly expenses including housing costs, food, home maintenance, utilities, real estate taxes, housekeeping and other housing expenses and compare to the monthly expense at the community you’re considering. Make sure you know what the contract covers in terms of services and meal plans.

Services – What is the full range of services available, which of these are covered in the basic fee and which are extra? Do you require help with any day-to-day activities or housekeeping chores? Fully consider all services or assistance you need now or may need soon when selecting a facility. Make sure you fully understand the contract and what it covers in terms of services.

• What is covered in the upfront fee?

• Would you (or your heirs) get any part of your upfront fee back if you move out?

• Make sure you understand the change in monthly fees should you start in independent and move to assisted living.

• If married, will you have to pay more in monthly fees if your partner needs assisted living and you want to keep your apartment?

• Consider having an attorney look over any contract before you sign it.

Transportation & Medical Services – Consider how frequently you need to keep medical appointments and if the community transportation schedule meets your needs or offers alternatives. Will you be able to keep your current doctor or will you need to find a new one closer to your new home? Can you transfer your prescriptions and does the new pharmacy accept your prescription coverage plan?

Meals – Do you have special dietary needs? Do you like the menu? How often are meals served and what meals are included in the fee? Are snacks available during non-meal hours?

Activities – Does the facility offer the types of activities and programs that you enjoy? Check out their full schedule.

Location – Is the facility convenient to friends, family and the activities you enjoy?

Walking & public transportation opportunities – Although many communities offer transportation for shopping, medical appointments and excursions, is there a nearby bus stop? Check out walking trails and routes in the neighborhood. Is there a nearby library and other services that are important to you?

Affiliations – Does the facility have a religious, fraternal or governmental affiliation?

Pets – Do they accept pets?

Make a list of your criteria and questions, and visit several facilities that seem to meet your needs. Bring a friend or family member to compare notes and help ask questions. Use your senses ... do you like the looks of the place? How does it smell? See if you can have a meal at the facility and attend some scheduled activities. Ask about the management, their experience in the business, their track record and check out their reputation at this and any other facilities they manage. What is the staff-to-resident ratio? Does the staff seem harried or irritable? (might be a sign of understaffing). How long has key staff worked there (administrator, head nurse, social worker, marketing person)?