How Much Does it Cost to Live in a Retirement Community?
Sep 16, 2020
Retirement communities are becoming an increasingly popular option – especially communities for active adults over the age of 55. It’s no wonder. These communities allow people to enjoy resort-like amenities – think pools, movie theaters, landscaped grounds – while ditching costly and time-consuming yard work and home maintenance.
While the benefits are many, you may wonder if you can afford living at one of these communities. While the average national cost of a retirement community ranges from $1,600 to $6,000 a month, 55+ communities average $2,428 per month. And, good news for people who live (or want to live) in Oklahoma: according to Business Insider, Oklahoma offers one of the lowest monthly averages at $1,865 per month.
This price covers independent living, not assisted living, which averages $3,325 per month in Oklahoma. It also doesn’t include pricing for Continuing Care Retirement Communities, which offer many fee structures and often have entrance fees.
Oklahoma is One of the Most Affordable States for Independent Retirement Living
Of all of the states, Oklahoma takes the third spot in the list of cheapest places to retire, and it also has the third-lowest cost of living. Choosing Oklahoma as your next home could save you money. For some perspective, consider how much it costs to live in a retirement community in other states.
Business Insider’s list named South Dakota the state with the cheapest rates for independent living ($1,399 a month). Independent living would cost active adults the most in Massachusetts ($4,002 a month). Massachusetts is the 6th most expensive state to call home. Hawaii, the most expensive state to live, is 15th on the list for retirement community costs at $2,564 per month. And while Mississippi is the least expensive state to call home, it was more costly than Oklahoma for retirement living. ($1,920 per month, 8th most cost-effective state).
Here’s What Makes Luxury 55+ Apartment Living Great
Independent living is the least restrictive type of retirement living and often the most affordable. Two types of 55+ active adult communities exist: neighborhoods with homes that you buy and then pay a monthly fee to access the amenities, and apartment communities where the amenities and services are part of your rent.
Luxury 55+ apartments are becoming more popular. They offer the flexibility of renting versus buying and function almost like an all-inclusive resort. Luxury senior living communities are ideal for active older adults who want the freedom of independent living without the responsibility of owning a home. By living in one of these communities, you gain access to many services and conveniences. You can also maintain relationships with other people in your new neighborhood who are enjoying the same stage of life.
What Does the Cost of a Luxury Senior Living Retirement Community Include?
In Oklahoma City, the average cost for independent living communities is higher than the state average at $1,984 per month. Proximity to major cities means proximity to more cultural, entertainment and dining options, so people are traditionally willing to pay a little more.
If you are looking for ample senior living amenities, luxury senior living communities are the best bang for your buck. Most luxury senior apartments include the following:
- A full calendar of programs and events
- Transportation services
- Wellness offerings
- Trash pick-up
- Maintenance and repairs
- Laundry services
- Moving help
- Pet-friendly living
- Amenities such as movie theaters, gyms, salons, pools, game rooms and more
If specific senior living amenities are not offered in the monthly fees, they are often offered for a small add-on fee.
Costs Can Fluctuate
One thing to expect as you evaluate the cost of retirement communities is that prices will increase to account for inflation. As with any living expense, housing costs increase most years. Ten years from now, the current average would sit around $2,387 per month if the inflation rate is 2.5%. Extra services you pay for will likely cost more, too.
Another consideration is a possible change in amenities and services at these communities. Here are some examples where this might occur:
- The housekeeping provider changes and the special fee increases by a few dollars a month
- The community no longer offers a particular service, and you need to find it on your own
- The community adds a new amenity that you want to take advantage of, but it adds on a special fee
Paying for Your New Retirement Lifestyle
Living in a retirement community may seem more costly than living in your own home, but it can often be more cost-effective. If you’re still paying a mortgage, this alone may cover a majority of the costs.
As you get older, you will spend more money to make modifications to your home, such as safety bars in the shower. These modifications are already in place in many retirement communities. In addition, you won’t have to worry about outdoor maintenance in a retirement community. Services at your new home will be part of your monthly fees, but in your current budget, they’re probably additional expenses.
Here are some things to consider when deciding what you can afford:
- The region and state where your community will be
- The number of amenities and services you want to have included in your monthly fee
- Make a budget, and remember to include the things you will still need to pay for outside of your monthly fees
- Determine what types of income you have and will have in the future, as well as any debt
- Determine if any family will be contributing to the costs
Then, figure out how you will pay for your new community life:
- Draw on social security, savings or retirement to cover the costs
- Use any current income to assist with your monthly fees
- Use the sale proceeds from your current home to secure your first several months
- Use any financial contributions from family members
Deciding if Luxury Senior Living Communities are for You
The best way to decide if one of the luxury 55+ apartments in Oklahoma City is right for you is to visit them. Grand Tapestry at Quail Springs would love to be your first stop, where you’ll enjoy seeing all the senior living amenities we offer. Download our community brochure today, or call us at (405) 605-6900. We look forward to telling you all about life at Grand Tapestry, and what value you get for your money by joining our community.