Is Long Term Senior Living "Rent" A Wise Way To Go?

[CallMeKate]

To me, the big variable is lack of social interaction by staying in your home.
It can be damaging. The operative words are, can be.

I'm not following this at all. No one mentioned a padlock on the door to make them prisoners. Good health was already claimed in another post. Why would there be lack of socialization if living at home? They'd still be able to go to senior center activities, bus trips, church events, town events... anything they want.

 

[Della]

My brother and his wife made this decision last year. They are both healthy, he's 80, she's 70. They had a beautiful condo right on Myrtle Beach and lots of fun activities. So why move into an amazingly expensive assisted living place? Even more fun! They absolutely love their apartment inside the facility, their lavish meals in the dining room, daily rides to the golf course, poker groups , bridge groups, exercise classes, art, crafts, music nights, theme parties, house cleaning done, nurses on call 24/7, rides to all doctor appointments and shopping.

What prompted the change was some friends of theirs. He had a sudden stroke and she was overwhelmed with worry and decisions. It's easy for us to sit here and talk about home nurses, hospital beds, trips to the hospital, but it's a different story for a spouse who is already stressed out over the big health event.

Peace of mind is priceless, If you've got it spend it.

 

[WordsMyth43]

And We will agree with you.. Personally know several RNs that would move in and become your personal servant for half that amount.
My 1st question is about your house and accessibility. We are 20 years younger than you, but we rebuilt our house to be our forever home, under 1000 SqFt 2 Bd/1 Bath one step up from the garage. Open design with all 36 inch doors for stretchers to get in.

2,000 sq, ft, split level, 3 BRs, 1½ Baths, attached 1 car garage on ¼ acre lot, built in 1956 in a small suburban community in northern Anne Arundel County Maryland (between Baltimore and Annapolis). Four steps up from driveway to front porch. Interior: 6 steps up from garage to main level and 6 steps up from main level to BR, bath level. The steps are a bit difficult for my wife (arthritis), but safely manageable at this stage.
Your information about having RNs/professional caregiver "living in" is of considerable interest. Basically, I personally, emotionally, and financially prefer to "stay in my own home" and bring necessary facilities and services to us in our home.
Thanks.

 

[WordsMyth43]

My brother and his wife made this decision last year. They are both healthy, he's 80, she's 70. They had a beautiful condo right on Myrtle Beach and lots of fun activities. So why move into an amazingly expensive assisted living place? Even more fun! They absolutely love their apartment inside the facility, their lavish meals in the dining room, daily rides to the golf course, poker groups , bridge groups, exercise classes, art, crafts, music nights, theme parties, house cleaning done, nurses on call 24/7, rides to all doctor appointments and shopping.

What prompted the change was some friends of theirs. He had a sudden stroke and she was overwhelmed with worry and decisions. It's easy for us to sit here and talk about home nurses, hospital beds, trips to the hospital, but it's a different story for a spouse who is already stressed out over the big health event.

Peace of mind is priceless, If you've got it spend it.

Good point. This older housing situation is one of the reasons we so frugally saved all the money in the first place. And I do not mind spending money on quality care and quality lifestyle, but ... the financial "uncertainty" of the open-ended rent situation and the overall instability of the economy (which will affect it) remain very large concerns. I do not want our financial well-being or even survival to be in the hands of anyone else but ourselves. I "get" the life events are not under our control, but the financial "exposure" can certainly be more limited.

 

[WordsMyth43]

I just did the quick math $12,000×12×27.
The total asset including your house is > $3.89 millions from the two of y

First of all, welcome to our forum, @WordsMyth43! You brought up a good question, and I remember a few threads here that have posed similar questions.

The fact that you are even asking this question should be a red flag for you. Yet, it doesn't hurt to know what all of your options are. If you go into this new situation with doubts about your longterm finances, then follow your gut instinct. I, for one, want to live in my home as long as I can until I can no longer live independently. I know of several people (e.g. my mother) who lived in her own home until she was 88. Then she moved in with my sister. She is now 91.

PS Are you a writer? Your name, phonetically, says Wordsmith

My financial questions are certainly a "red flag" for me! I understand and appreciate the "options" that this sort of senior living facility offers, but it is, in fact, a for profit business and is also subject to the risks and whims of that system. The "unsureness" of the future financial situation is my great concern. Like you, I prefer to live in my own home as long as possible, and that's what I intend to do. I do not, however, want to disadvantage or in any way cause avoidable stress or pain on my wife.
I was a reporter and editor for a small, Midwestern daily newspaper before a 32-year career - basically as a writer - for NSA. I do enjoy a play on words!

 

[JustBonee]

Of course rent goes up each and every year when I re-new my lease. .. the demand is growing, with the growing population to the area, and so is the waiting list here.

But when thinking about the money …. the ‘surprise’ expenses can be endless in owning a home … not only the yearly home insurance rates and property taxes climbing at an alarming rate, but continous improvements and maintenance.

Example…. around here now, if you don’t have a back-up generator for your A/C system ..your home loses value on the market.

 

[WheatenLover]

I just think the price is outrageous. Even if I had the money, I would not do it for that reason alone.

My ex-husband lives in a place like that. His apartment is very small. The food in the dining room is great. And he pays about $2K a month for it (he gets a significant discount). If he needed caregiving, he would have to move out. Only people who can take care of themselves can live there.

My MIL lived in a place like you are describing. They had step-down units, so this place was prepared to keep you for the rest of your life. I didn't like the financial arrangements, but that was not my business. She loved it there, and two of her sisters lived there too. The difference was that the buy-in was massive, but one had a place to live until one died.

At least she lived to a ripe old age; she lived there for 15 years. If she had died within a few years, my business or not, I would have been very angry. Basically, as I saw it, the place was betting its residents would die early enough for them to make massive profits. From what I could see, at least they do not do anything to hasten anyone's death.

 

[officerripley]

But when thinking about the money …. the ‘surprise’ expenses can be endless in owning a home … not only the yearly home insurance rates and property taxes climbing at an alarming rate, but continous improvements and maintenance.

Example…. around here now, if you don’t have a back-up generator for your A/C system ..your home loses value on the market.

Agreed. And the hiring of in-home health care workers that's been mentioned? Around here, it's hard to find anyone to do it. A friend whose elderly parents had plenty of money were slow to hire any in-home help because if the dad thought the worker was doing a good job, the stepmother didn't, and vice versa. So it can be hard to find an in-home worker that you're happy with.

 

[officerripley]

For myself, it was an easy decision to sell a large home after my husband died. I just couldn’t maintain all that property alone.

With my husband gone, and grown kids all moved on. .. I waited until my animals (2 dogs and a cat) were gone also (except for my little Bichon, Bear)

We started a new apartment life …. and all the worries of home ownership disappeared.
Eight years here have flown by … apartment life is wonderful….. I count my blessings daily.

No dealing with repair men, only other interesting seniors, and community social events. It’s a stress free way of life.
...

That sounds wonderful; wish I could do that.

 

[OldOld]

For myself, it was an easy decision to sell a large home after my husband died. I just couldn’t maintain all that property alone.

With my husband gone, and grown kids all moved on. .. I waited until my animals (2 dogs and a cat) were gone also (except for my little Bichon, Bear)

We started a new apartment life …. and all the worries of home ownership disappeared.
Eight years here have flown by … apartment life is wonderful….. I count my blessings daily.

No dealing with repair men, only other interesting seniors, and community social events. It’s a stress free way of life.
...

I agree on the no repair, no maintenance, worry-free rental arrangement. But it is a different story to stress out the financial burden and live in a fancy "very nice and expensive " facility.

 

[Disgustedman]

I'm doubtful that moving from a paid off home into a very nice - and relatively expensive - "monthly rental" senior living facility is a wise choice.

We're in our 80s. We're financial quite sound. Our 2,000 Sq. Ft.+ home has long been paid for (we've been in it since 1976).

Frankly by your statement it sounds that you are well fixed financially and seemingly still in good health, as you did not complain about anything physical.

I would suggest just having a visiting caregiver if you need help as you age and use your money that way until there comes a time that you either cannot physically care for yourself or you need more help.