As the number of baby boomers reaching retirement age
increases dramatically, the number of retirement communities springing up to
serve them also is growing.
Is moving into a retirement community a good decision for
you? Selecting a retirement community is very complicated. Here are some
factors to consider:
- Review your goals for retirement. Determine what your
priorities are. If you need to work part time, but the retirement community is
located on the edge of a big city where land is cheaper, it might not be a good
location for you.
- Figure out where you want to live. If you’re planning on
moving, you need to be certain that the community you’re moving to will meet
your needs. One suggestion is to move to the city and rent a home or apartment
before you buy a home or condo or sign up for a retirement community. See “How
to Choose the Best Place to Retire” for items to consider for selecting the
best community for your retirement.
- Find out about health facilities in the region and how far
you’ll be from them.
- Tour the retirement communities that you’re considering and
have a checklist for each. Spend time in every part of the facility. Have a
meal, if meals are offered to some or all residents. Drop in unannounced for a
second visit. See “Questions to Ask Series: When Selecting Active Independent
Living and Retirement Communities” for a checklist to use.
- Analyze the costs thoroughly. Find out what’s included. There
may be a buy-in fee or monthly homeowner’s dues. If so, find out what they
cover. Ask if you have to pay extra for items such as art classes at the clubhouse.
- Check out the financial stability of the retirement
community. Some don’t do a good job maintaining the buildings and grounds. Ask
to see financial statements and homeowner association documents and minutes. Also
ask to see licensing and inspection reports and any complaint investigations
conducted. Be wary if the retirement community is under construction or is
partly constructed. Some communities fail to provide the amenities promised and
others go bankrupt. See the article “Searching for Security: How to Tell
Whether a Continuing-Care Community Will Be Able to Keep Its Financial
Promises” for information.
- Find out if the retirement community is a facility that will
allow you to age in place. Check to see if it has grab bars and if it’s wheel
chair accessible. You also need to consider how you’ll get around if you can no
longer drive.
- Ask if there are any rules about children visiting or living
with you. You may need to help an adult child with kids or a grandchild. You
need to know if the rules preclude such living arrangements.
- Find out if the facility offers ways to help you keep active
and what types of activities are offered in the community. Some people want
amenities such as a fitness room, fitness classes, a pool, and walking trails,
while others would like arts and crafts, bingo, and card games. Cultural
activities, colleges that offer classes, nearby parks, and museums are pluses.
- Ask for the names of residents that you can talk with. Find
out if there’ll be other residents that have the same interests as you. Also,
ask about the ages of the people who live there.
- Review consumer complaints and pay attention to them.
- Don’t sign a contract until you understand pricing and have
read the entire contract.
Good luck with your retirement planning and selecting a
retirement community. It’s a complicated consumer decision, but using these
steps will help you make the right choice for what you need.
