There are a lot of questions that come to mind when preparing to move to a retirement community. For some aging adults, it is the question of finances; how to afford the services and amenities in these communities.
The cost of living in these communities is different according to location, services and amenities offered. Irrespective of the cost, these are some of the ways to make senior home care in Overland Park, KS more affordable:
Take Bridge Loans
These loans are important when you are transitioning to senior living. There are financial services that will offer loans to help you cover costs before selling your property. These financial services are mostly available for aging adults above 65, it is created to help them move easily to retirement communities.
Bridge loans will make moving to these communities affordable by providing the necessary funds for the aging adults’ needs. It is a short-term loan and you can pay these loans back once you have the funds through the home sale or other benefits.
Covert Your Policy
If you have an existing life insurance policy, you can leverage it. As an aging adult, you can convert a life insurance policy to fund your senior living. You can tap into the fund in your policy irrespective of your health condition as long as you are an aging adult.
Using this option, you don’t have to wait for any period, experience any care limits, or pay an additional cost. Most importantly, you don’t have to pay any premium or wait till you are terminally ill before accessing the fund.
A tax deduction is one of the ways to make retirement communities more affordable. You can discuss with your tax advisor to know if you are eligible for a tax deduction. Leveraging this option might be confusing, however, tax advisors will help you with the process.
Shared Living Option
Shared living also helps reduce the cost of living in retirement communities. You will benefit from this financially, mentally, and emotionally. Sharing a room means, you have someone to share responsibility with and someone you can engage in activities with. Also, it will help you transition as you will be able to adjust quickly to the new environment when you have someone to interact with.
If you want to make living in retirement communities affordable and don’t want to sell your home. Reverse mortgages are the best option, this option allows you to borrow against your home equity.
However, the loan is short-term and becomes due once you are out of your home. However, if you want to keep your home, your spouse must be living in the home and both of you must be responsible for the loan. In addition, before accessing this loan, you must be 62 years and older.
Selling or Renting Your Home
Putting up a home for sale is one of the ways aging adults get funds to pay for retirement communities. However, if you are not comfortable with selling your home you can rent it out.