Today’s housing options for seniors run the gamut, from at-home living arrangements to new communities that offer a full range of amenities and support services.
“If your idea of senior living is a nursing home with linoleum floors and hallways lined with wheelchairs, think again,” says Sue Johansen, executive vice president of community network for A Place for Mom, a website that helps families find and evaluate senior living options in their area.
Older Americans should begin planning early for where they want to live in their later years. “What happens is you wait too long and then you don’t have any choices,” says Lindsay Hutter, chief strategy and marketing officer for Goodwin Living, a faith-based, not-for-profit in northern Virginia that operates several senior communities and offers home health care services.
Don’t wait until an emergency situation means you need to find care quickly. Instead, take time now to consider which of these housing alternatives for seniors may be right for you.
— Aging in place.
— Moving in with the kids.
— House sharing.
— Independent living communities.
— Assisted living.
— Life plan communities.
— Subsidized housing.
[SEE: The Most Affordable Places to Retire.]
Aging in Place
With a few modifications, such as moving a bedroom to the main floor and installing grab bars in the bathroom, many homes can be safe and comfortable places for retirees to live.
“Think about wide pathways,” Hutter says. “Think about how you get in and out of the home.”
Some organizations may offer home assessments and make recommendations regarding what modifications a home might need to enable an older person to safely remain there indefinitely. Occupational or vocational therapists may offer this service as well.
Known as aging in place, this living arrangement may require more than home renovations, and older Americans may find they eventually need in-home care. Personal care workers perform services such as cooking, cleaning and running errands. For those who need skilled care, some agencies may be able to provide therapists and nurses who can assist with medication or other hands-on needs.
Paying for home renovations and in-home care can stretch a senior’s limited budget, but older homeowners may be able to tap into their home’s equity to cover costs. Reverse mortgages can provide seniors with a lump sum, line of credit or monthly payments based on the equity of their home. Once the person moves out of the home or dies, the property is typically sold to pay off the loan.
Be sure you understand the costs and terms before taking out a reverse mortgage. While these loans can be a convenient financial tool for seniors, they may also be more expensive than other lending options.
Moving in With the Kids
It’s not unusual for a parent to assume they will be able to move in with an adult child, says Susan Dolton, corporate director of sales at Goodwin Living. But she adds: “Their older children may not agree.”
Still, moving in with an adult child — or having them move in with you — can be a win-win. It can immediately slash living expenses in half. Plus, there’s the possibility of fringe benefits for both parties. Busy parents may end up with built-in babysitting, while seniors, particularly those who are single, benefit from an active household that will stave off loneliness and the health risks linked to it.
But that isn’t always the case. “Living with your adult children might mean you are home alone a lot,” Dolton says. That could be the case if your adult child is often gone for work, or if your health and mobility don’t allow you to join the family on outings.
The key to making these arrangements work is to set clear guidelines from the start. Make sure everyone has the same expectations about communal living, personal space and bill sharing.
[Related:What Is the Best Age to Retire?]
House Sharing
If you’d rather not live with a family member, consider renting out space with another senior. Home sharing with another retiree provides similar financial benefits without the complicated relationship dynamics that can come along with moving in with the kids.
Seniors who still own a home could find a housemate to cover some of their living expenses, and renters can halve their monthly bills. Websites such as Silvernest and Senior Homeshares are designed specifically for older individuals who are seeking roommates or want to rent out space to those who are in the same demographic.
“You need people who are all very self-sufficient and at the same level of care,” Johansen says. A risk with house sharing is that one person declines in health or ability, resulting in a housemate becoming their caregiver.
Independent Living Communities
There are numerous independent living options for seniors, including retirement villages, active adult communities and senior apartments. “I like to think of housing for seniors as a spectrum,” Johansen says.
The category starts with senior apartments in age-restricted complexes. These buildings may have some amenities such as a pool or gym, but they don’t offer any additional services such as meals or transportation.
Then, there are independent living communities that can go by a variety of names. They may be called retirement villages, active adult communities or senior housing. Residents have their own private living space but also get access to amenities that may include on-site theaters, golf courses and restaurants. Planned social activities and excursions may also be offered to residents.
While retirement communities are often associated with sprawling suburban developments, there are also opportunities for retirees to remain in cities if they like. Old schools, hospitals and other downtown spaces may be refurbished as new senior housing. While some developments target an upscale clientele, others create living spaces that meet the needs of the middle market.
Many communities maintain a full schedule of activities that help residents meet one another and build friendships. That makes an independent living complex — as opposed to a senior apartment building — a good choice for anyone concerned about social isolation.
Assisted Living
While independent living communities offer plenty of amenities, they typically don’t provide care services. For those who need some help with daily tasks, assisted living may be the best housing solution.
These properties may have individual apartments for residents along with communal spaces for meals and social activities. Staff may help with a variety of tasks related to housekeeping, personal hygiene and medication reminders. Assisted living facilities are equipped to handle residents with a variety of health concerns, including cognitive impairment. “Most assisted living communities nowadays have a small portion of their community dedicated to memory care,” Johansen says.
In addition to traditional assisted living facilities, seniors also have the option of living in a residential care home. These can go by a number of names, but they generally feature smaller settings with fewer residents who may share rooms. It can be more affordable than a larger facility and also offer what Johansen describes as “at-your-elbow service” and constant supervision.
Assisted living care often serves as a bridge between independent living and nursing home care. Some facilities may charge an entrance fee, and the monthly price may be all-inclusive of meals and utilities. Medicare won’t pay for assisted living, but it may be covered by long-term care insurance.
[See: 10 Affordable Places to Rent an Apartment in Retirement]
Life Plan Communities
Also known as continuing care retirement communities, or CCRCs, life plan communities combine several living arrangements on a single campus to allow seniors to move from independent living to assisted living to skilled nursing care, if needed. Some communities are all-inclusive and include meals as well as other activities.
“CCRCs offer a tiered approach to the aging process, accommodating residents’ needs as they age,” says Alexandra Armstrong, founder and chairman emeritus of Washington D.C.-based financial planning firm Armstrong, Fleming & Moore. “Each community differs on what is covered so you should check on the details.”
These communities may have contracts that are set up under different terms. Some require the purchase of a property in the community while others charge an entrance fee and then assess a monthly charge. Depending on the contract, that charge may stay the same regardless of the level of care provided or it could rise as a resident’s needs increase. If a resident reaches the point where they can no longer afford that rate, some communities have foundations or assistance programs to cover the cost.
Whether a community has a foundation may depend on whether it is not-for-profit or for-profit. According to Dolton, for-profit communities may have shareholders and be owned by one entity but managed by another. Not-for-profit communities are mission-driven and often, but not always, are faith-based. Take the time to learn more about a community and what happens if a resident runs out of money prior to signing a contract.
Subsidized Housing
Housing for seniors based on income may be available through a variety of local, state and federal housing programs. However, subsidized housing programs at all levels can be complex to navigate. Each may have its own eligibility criteria and application process.
Even if you think it will be years before you need subsidized housing, don’t delay your application, as waiting lists can be long. For instance, Hutter notes there are few good facilities participating in the federal government’s Section 8 housing program, and those that are may have waiting lists with hundreds of names.
For assistance locating programs in your area, consult with a housing counselor through the Department of Housing and Urban Development or a local nonprofit.
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7 Housing Options for Seniors originally appeared on usnews.com
Update 07/13/23: This story was published at an earlier date and has been updated with new information.
