Senior Housing

What is “Senior Living”?

Posted on by Teresa Boardman

I recently got a request to help someone who wants “Senior Living” in the East Metro. I had a lot of questions. What is Senior Living?

There are certainly many options. I am a senior, and I live in a house that I raised my children in.

For many people, Senior Living is 55+ housing to own or rent. Assisted living, which is usually a rental with services, is considered senior living. Some communities offer a continuum of care with independent living apartments, services, memory care, and a nursing home.

I have never heard of anyone choosing a skilled nursing facility unless there isn’t any other choice.

There are also senior co-ops, which are not the same as rentals or condos. In a co-op (cooperative housing) community, the owner owns shares. Those shares entitle the owner to occupy an apartment. When it is time to leave the co-op buys back the shares.

People who are looking to move into an assisted living facility or 55+ rental housing generally do not need the help of. Realtor. Realtors generally do not work with nursing homes or care facilities, at least not in the state of Minnesota.

The Senior Housing experts are the folks who are paid by the owners of Senior Housing facilities. They get paid to recommend housing and to help with it.

Seniors might need a Realtor to help them sell their house and deal with the move and related issues.

In Minnesota, Seniors who are planning on moving to assisted living or a care facility can call Senior Linkage Line ((800) 333-2433) for help. The service is free through the State of Minnesota.

Choose your housing wisely.

Are mortages forever?

Posted on by Teresa Boardman

WalkerI used to read articles about retirement. I stopped reading because they are mostly about money (There is never enough, and we should all be afraid) or about staying healthy (We all age and we die no matter how great our diet is and how much exercise we get)

It is very rare to see an article about retirement that differentiates between people who own their home mortgage-free and those who rent or pay a mortgage. I don’t have any proof, but I believe that people who own a home free and clear can survive on a smaller income than those who pay rent or mortgage.

Sometimes I meet retirees who live on Social Security checks in homes they won free and clear, and seem to do just fine. They don’t appear to be wealthy, but they aren’t eating cat food either.

More Americans aging into retirement are still paying down mortgages. Over the past three decades, the share of homeowners ages 65 to 79 with a mortgage rose from 24% to 41%. More older adults are entering retirement in debt, including mortgage debt. 

  • National Council on Aging states that just over 79% of older Americans were homeowners in 2022.

According to the U.S. Census Bureau, nearly 40% of homes in the country were mortgage-free last year. That means more than 34 million homeowners have fully paid off their mortgage, leaders at the National Association of Home Builders said in a recent report.

Maybe you can’t save up and invest enough money to have a million dollars for your retirement. Maybe you can limp along with less if you can retire debt-free.

There are ways to pay down a mortgage. One way is to pay extra on the principal each month. Refrain from borrowing more against your home as the equity builds.

Owning a home free and clear in retirement might make it easier to stretch that Social Security check a little further.

Mortgages don’t have to be for life.

 

Sustainable home ownership

Posted on by Teresa Boardman

Coins, moneySmart home ownership isn’t choosing a barely affordable home based on the school district. Just because the school district is highly rated doesn’t mean your child will get a good education or even graduate from high school.

Struggling to make the mortgage payment, which includes ten thousand dollars in property taxes each year, can cause stress. Stress affects everyone in the household.

When we are young, we may think we will make more money each year until our house becomes more affordable. It doesn’t always work that way. People get sick or have accidents, and sudden job layoffs happen.

I write a similar article every spring because it is in the spring that I pay the property taxes and insurance for the year. I always feel a sense of relief after those bills are paid. We paid off the mortgage more than a decade ago. It is liberating not to have to make rent or mortgage payments.

Retirement doesn’t seem like a good option for me, but I have some flexibility because there is no mortgage or rent.

The number of homeowners over the age of 64 who have mortgages has increased over the last couple of decades.

In 2022, just over 40% of homeowners older than 64 had a mortgage, according to a report from the Joint Center for Housing Studies of Harvard University. This represents a significant increase from roughly 25% a generation ago. 

 

Affordable housing for seniors

Posted on by Teresa Boardman

 

house finch sitting on bird houseI was going to write about affordable housing for seniors, but there isn’t much, if any, 0n top of that, the city of St. Paul likes to condemn the houses seniors live in and fine them $5000 a year to register their home as vacant.  There are no senior discounts when it comes to fines which become a poverty tax.  The City of St. Paul can be a cruel place for seniors.

Homelessness among seniors is a growing problem in the United States, with older adults (aged 55 and up) making up a significant portion of the homeless population. About 146,000 older adults were experiencing homelessness in 2023, according to the U.S. Government Accountability Office (GAO). The trend is expected to continue, with projections suggesting a near tripling of homeless seniors by 2030.

As our population ages, there will be more seniors living and dying on the streets. Look for more people suffering from Alzheimer’s trying to keep the city inspectors at bay. Everyone who is alive today may one day be elderly, homelessness is just one more thing to look forward to.

Housing isn’t just for young people. Everyone deserves housing.

Real estate, lawyer, doctor or social worker?

Posted on by Teresa Boardman

Real estate agents often do more than sell houses. We can help people who are downsizing and we can recommend various professionals if repairs are needed or lawyers when real estate is inherited.

The real estate agent shouldn’t be the first call after a dementia diagnosis. Call a social worker first. Your doctor can give you a referral. You may also be able to get help/advice from Senior Linkage Line (A Minnesota thing) 1.800.333.2433.

Alzhiemers.org has resources for persons with dementia. Some services can help seniors with dementia stay in their homes.

Selling the house isn’t always the best solution. Generally, people can qualify for financial help with medical care and keep their house if it is their primary residence. Staying at home is less expensive than assisted living, which can easily cost $10,000 a month.

Selling the house and moving out isn’t always the best solution.  Aging in place and making plans to move at some point in the future might be a better option.

There is no safety net for Seniors and persons who are over 55 now make up over 20% of the homeless population and the number is growing. Alzheimer’s disease is the 6th leading cause of death among seniors in the US.

If you think you have dementia see your doctor.

Is downsizing right for you?

Posted on by Teresa Boardman

If there is one thing I have learned over the years it is that there is not one size fits all housing solution for retirees. There isn’t a retirement age either. We used to assume that when we reach a certain age we will retire and want a smaller house. I have had clients who wanted to move into larger houses during retirement. They wanted space for family gatherings and for children and grandchildren.

You don’t have to move just because you are retiring. You can stay where you are. Don’t let anyone talk you out of it if that is what you want to do.

Downsizing is an option for those who can afford it. Buying and selling can be stressful but it has always worked out for my clients.

downsizing info graphic
Perks of downsizing

Call or write for a free consultation if you are interested in downsizing in the next year or so.