Senior Living Community Evaluations & Considerations: A Practical Guide
At Acts Retirement-Life Communities, we have dedicated more than 50 years to helping seniors navigate the often-overwhelming process of choosing the right retirement destination.
We understand that this transition is no mere move, as if you’re looking to relocate down the street or to a better school district. No, this is a long-term investment in your future health and happiness. Whether you are looking for more freedom, better social connections, or the peace of mind that comes with a plan for future healthcare, evaluating your options carefully is the first step toward a fulfilling long-term retirement plan.
When you begin to compare retirement communities, it’s easy to get lost in the list of amenities and floor plans. However, making an informed decision requires looking deeper into the financial structure, the levels of care provided, and the organizational stability of the provider. This guide explains the essential elements to consider when moving to a retirement community, to help you choose the one that perfectly aligns with your vision for the future (and that perfect solution may not be Acts!).
Understanding the CCRC Advantage
As you evaluate different environments, you will likely encounter Continuing Care Retirement Communities (CCRCs), also known as Life Plan Communities. These are designed to provide a full "continuum of care" on a single campus.
The primary benefit of a CCRC is that it offers three distinct levels of support:
- Independent Living: For active seniors who want a maintenance-free lifestyle with access to on-campus amenities.
- Assisted Living: Personal assistance with daily tasks like bathing, dressing, or medication management.
- Skilled Nursing Care: 24-hour medical supervision for individuals with complex health needs.
The goal of this model is to allow you to "age in place" on the same campus. If your health needs change, you won’t have to face the stress of finding a new facility, moving away from your spouse, or leaving your friends behind. You simply transition to the appropriate level of care available right in your familiar surroundings.
Evaluating the Financial Structure and Contracts
One of the most critical steps to compare retirement communities is understanding how they are funded and what your fees cover. Most CCRCs require a one-time entrance fee and an ongoing monthly service fee.
The type of contract you sign determines how much you will pay for healthcare in the future:
Type A: Life Care Contracts
This is the gold standard offered at Acts. Under a Type A contract, you pay an entrance fee that essentially "pre-pays" for your future care in pre-inflation dollars. The greatest advantage is financial predictability: your monthly fee remains consistent even if you move from independent living to assisted living or skilled nursing. This protects your nest egg from the skyrocketing market rates of long-term care.
Type B: Modified Contracts
These contracts usually have lower entrance fees than Type A while providing a limited amount of healthcare at a discounted rate. Once that period ends, you are responsible for paying the full market rate for care.
Type C: Fee-for-Service Contracts
These offer the lowest entrance fees, but you pay the full market rate for all medical services as you need them. This can lead to unpredictable and potentially devastating expenses if you require long-term care.
Rental and Equity Contracts
Some communities operate as month-to-month rentals. While they offer flexibility, they rarely provide the long-term healthcare guarantees found in a CCRC and can be more expensive over time. Equity contracts involve homeownership within the community, but healthcare is typically paid for out-of-pocket at market rates.
The Hidden Costs of Staying Put
A common mistake many retirees make is comparing the cost of a community only to their current mortgage payment, which may in fact be zero for those who have paid off their house. Instead, to truly understand the option with the best value, you must account for the "hidden costs" of homeownership that a CCRC typically covers:
- Property Taxes: These increase every year and never disappear, even after the mortgage is paid.
- Maintenance and Repairs: Unexpected costs for a new roof, boiler, or HVAC system can unexpectedly claim significant portions of your savings.
- Utilities and Services: Electricity, water, trash removal, security monitoring, and internet are often bundled into one community fee.
- Lifestyle Expenses: Gym memberships, pool access, entertainment, and lawn care services are included amenities at many communities.
Evaluating Lifestyle and Amenities
When looking at what to consider when moving to a retirement community, don't ignore the importance of daily fulfillment. Modern senior living is often compared to a "cruise ship without the ocean" because of the robust activities available.
As you tour, check for these popular amenities:
- Wellness Facilities: Does the campus have a modern fitness center, swimming pool, and walking trails?
- Dining Options: Are there multiple venues, such as a formal dining room and a casual bistro?
- Creative Outlets: Look for art studios, woodworking shops, and hobby rooms. At Matthews Glen in North Carolina, residents even run their own in-house TV station.
- Specific Interests: Some communities offer unique perks, like woodworking shops or fishing lakes.
Another advantage of choosing a network like Acts is our Travel Program. Residents of one Acts community can visit any of our 27 other campuses across nine states, turning retirement into a premier vacation opportunity.
Tips for the Touring Process
We recommend visiting several campuses to get a true feel for the atmosphere. Here is our checklist for a successful tour:
- Trust Your Senses: Is the community clean? Does the staff seem genuinely friendly? Is the food to your liking?
- Talk to the Residents: Residents are your best source of information. Ask them what they love about the community and if there is anything they would change.
- Check for Financial Stability: Ask about the community’s credit rating. We are proud that Fitch Ratings consistently reaffirms an 'A-' credit rating for Acts, signifying our long-term financial health.
- Inquire About the Management: Is the organization not-for-profit or for-profit? Not-for-profits like Acts are dedicated to providing public benefit and reinvesting into the communities rather than prioritizing shareholder profits.
- Look for Accessibility: You may feel spry now, but consider if the layout will work for you a decade from now. Are there grab bars, wider doorways, and elevators? Are all living spaces on one floor? This will eventually matter!
Making the Final Decision
Choosing the right community is about finding the perfect balance between your current lifestyle and your future needs. As we often hear from residents, it is much better to be a little bit early with your plans than even one minute too late. By securing a plan now, you remove the burden of future health decisions from your children and ensure you remain in control of your own journey.
If you are ready to take the next step, we invite you to explore the wealth of helpful information resources on our website. You can find tips and guides, interactive tools to help find your perfect fit, and personal testimonials from those who have already made the move to a CCRC.
You can also explore any of our 28 campuses to find your perfect fit.
