Written by Ben Combs, resident of Touchmark at Fairway Village; lightly edited for clarity 

A number of years ago, AARP did a study and found that the majority of people want to live out their lives in their own home. And, I am sure, that is true of many people who will read this essay. But is it possible? Is it realistic? For many, if not most of us, it is not realistic, and for some, it is not possible. 

Unfortunately, this is a decision that is forced onto most people instead of one that is planned for. Think of the sad death of Gene Hackman and his wife. She had been Gene’s caregiver because he had dementia, but she died from a rare rodent-borne virus, and he (and one of his dogs) died of starvation. It was a good number of days that they both lay in their home before someone found them. The end for those who overstay their time in their home is usually not so dramatic or sad, but it is a warning we should all pay attention to. 

Planning Ahead for Senior Living Options

The purpose of this essay is to encourage you to plan now for the next step, whether that plan is to stay in place or move to a retirement community. If you want to stay in your home indefinitely, you should evaluate the feasibility of doing so now to be sure it's essential to evaluate the feasibility of doing so now to ensure it is possible. The internet has a great many resources available to help do so: just search for “Aging in place.” You will find checklists and contractors who specialize in retrofitting your home to make it feasible to stay in your own home for years to come. Do you have neighbors with whom you are interacting with on a regular—even daily—basis that would notice if things are not right with you? Do you have family members who can intercede in your life if need be? Be aware that intercession is often needed before we are willing to admit it. These checklists are very helpful in helping you decide how realistic it is to plan to age in place. 

Part of this analysis is determining if you have the financial resources to allow you to retrofit your home if necessary, and whether or not you can afford the increasing cost of supporting yourself in your home. You’ll probably need increased services for cleaning, meal prepping, and health maintenance support. Do you have long-term care insurance? Do you have family who can take on some of these responsibilities? There are financial planners who specialize in this type of analysis. Be sure they are certified financial planners and that services for seniors are a major part of their practice. For example: these financial advisors can help determine whether or not a reverse mortgage is feasible if your other financial resources are likely to be insufficient to pay for the increased cost of in-home care. 

You might characterize this preparatory study as “You gotta know before you need to know, because when you need to know, it’s too late to learn.” 

Considering Independent Living in a Retirement Community

The other alternative is to move into a continuing care retirement community (CCRC).  Again, you can learn a lot about this alternative by exploring the internet. You will find a lot of choices. Also, visit the various retirement communities and senior living facilities in your area. They will welcome you with a tour and meal as well as invitations to some of the activities they have for their residents. Take full advantage of the opportunities they offer to get acquainted with this type of living. The two aspects you will want to explore in depth are the lifestyle associated with congregate living and the expenses. It can be seemingly very expensive. However, I say “seemingly” because the alternative of staying in place can and will be increasingly expensive as well. 

Adjusting to Senior Living: Lifestyle Changes

If you have been living in a standalone single-family home most of your adult life, moving into congregate living will be a big adjustment; bigger for some than others.  Going out to lunch and/or dinner every day is another adjustment. It also probably means moving into smaller quarters than you have grown used to over your adult life. The type of living space available varies from community to community. Some only have apartment spaces available. Some have cottages, and some have duplex-type homes. Exploring all the available alternatives and the associated cost is important for you to do now.   

Over the years, I counseled clients with regard to this decision, and I have never had a client regret making the move into a retirement community. But I must admit that now that I am facing this choice myself, I am finding it hard to pull the trigger. It can seem restrictive and confining. The truth is that as we age, the radius of our lives gets shorter all the time, and our need for oversight and care increases. These communities are organized to provide all that is needed as it is needed, which can help expand the radius of your life even as you age. 

Understanding the Cost of Independent Living

What about the cost? It can appear to be a substantial increase in your current cost of living. However, appearances are somewhat deceiving. First, selling your home frees up money that can be invested to cover some of the additional expenses incurred. Also, the services provided replace some of your current living expenses: food, utilities, property taxes, insurance, etc. You will be spending less on travel, entertainment, and so on. In my own case, I believe that it would free me from about $2,500 a month in living expenses, and the capital that I would take out of my home would produce another $2,500 a month. This would cover 50% of the monthly cost of the “highest priced” community in my area. 

When Should You Move into a Retirement Community?

If you decided that a retirement community is a viable option for you, when should you move? In my opinion, you should make the move when and while you are able to be physically and socially active in this new community. You should do it sooner rather than later. As I told my clients: “You should move before you have to move, because when you have to move, it is too late to move.” 

Real-Life Costs: A Personal Example

As already pointed out, there will be a lot of expenses that you currently pay for that will be included in your rent. I will use myself as an example. You shouldn’t use a single example as an your sole source of information, but hopefully it will give you a framework to guide your own analysis. I am a single male, which is not the average situation as well. But this is what I spent in 2024 that will be replaced by the rent in a retirement community: $5,456 in food, $18,440 in housing, and $5,242 in utilities, for a total of $29,138 or almost $2,500 a month. I also spent another $2,000 per month on travel, which will diminish over time. 

As I have pointed out earlier, if you are selling a home to make this move, you will free up the capital that is invested in your home. For every $100,000 you net from the sale of your home, you can plan on earning approximately $4,000 to $5,000 a year in interest and dividends. This income will vary from year to year as the investment results are either positive or negative, but ought to grow over an extended period of time at the rate of inflation. Inflation will also affect the cost of your rent. That is an important area of investigation. Find out what the rate of increase has been for the place or places you are considering. The “high-cost spread” nearest me has had an annual increase of 6%, which means I can count on the cost doubling over 12 years. In any event, considering what I could earn on my freed-up home equity and what I will save in expenses, I should be able to cover around 50% of the increased cost. A trained financial planner will be able to help you decide if you can afford this additional cost over time. 

Exploring Assisted Living and Annuity Options

Another financial alternative to investing the freed-up capital from your home is to buy an annuity. This will guarantee you an income you can’t outlive and produce a higher rate of income per $1,000 than just living off the interest and dividends produced by investing the proceeds. The downside is that it will tie up this capital once you buy the annuity and detract from your estate with respect to leaving it to heirs. Attached is a table of various annuity income rates per $100,000 of capital. The average move-in age in retirement communities is 80 or a little higher. You will notice that at that age, a couple could expect to receive $9,456 a year per $100,000, or almost twice as much as they would get if they invested and earned 5% in interest and dividends. But the income won’t grow (or go down), and there will be nothing left for heirs. 

IMMEDIATE ANNUITY INCOME PER $100,000

*There is a 50/50 chance that it could be greater than or less than shown. 

**You would have to earn the rate shown on an investment to equate to this income, but you would still have your principal intact if you did so. As you can see, it would be next to impossible to earn that much. 

True Confession: My Decision to Move

I recently made the move I wrote about above. I did so willingly, but not without a kick in the pants. Actually, it was a 3 ½ foot fall from my backyard onto the golf course below. The fall caused seven or eight fractures. Four of them were very impactful. I had two fractured ribs and couldn’t cough or sneeze for a month or so without great pain. I also had two compression fractures of the T2 and T3 vertebrae that caused me to wear a full-body and neck brace for three months. The good news is that I wasn’t paralyzed. If I had been, I wouldn’t be writing this now and living where I am living; I might be in a wheelchair and living in a nursing home. 

Samuel Johnson once said that “when you are to be hung in a fortnight, it has a wonderful way of focusing your attention.” This fall focused my attention on the fact that I probably had overstayed my time as a resident of the single-family home with all the demands and responsibilities of its caretaker.  

So, I moved into a nearby retirement community. Thankfully, I am still mobile and able to be active in the social life of this community. One of the great needs of all of us as we age is to be socially active. There is a strong correlation between social engagement and good health and a long life. 

Discover What’s Next — With Touchmark

Planning ahead isn’t about giving up independence: it’s about protecting it. Whether you’re interested in independent living, want to learn about assisted living options, or are simply exploring what’s possible, Touchmark is here to help you live the full life. 

Come see the lifestyle for yourself. 
• Tour residences and amenities 
• Explore the thriving community 
• Meet residents who made the move and never looked back 

Schedule your personal tour today Click Here or Call 503-646-5186.

What would be it like to make a decision today to enrich your future? Find out with Touchmark. 

Thank you to Ben Combs for writing this article and being willing to share it with others. There is power in knowledge and storytelling, and this is what community is all about! We at Touchmark are always honored to amplify the voices of the residents who live in our communities. If you are part of the Touchmark family and would like to share something on our blog, please contact your Executive Director.