When exploring living arrangements for yourself or a loved one, it can be helpful to understand the different support services available. It’s normal for our health care needs to change as we age — and it’s important to prepare for those changes. Continuing Care Retirement Communities (CCRCs) are an option for those who want to stay in the same community, even as their care needs evolve.
In this blog, we’ll cover everything you need to know about CCRCs and how they compare to other senior living options — to help you find the best support service for yourself or a family member.
What Is a CCRC?
A continuing care retirement community (CCRC) is a long-term senior living arrangement that provides access to multiple levels of support within the same community. This means that if a resident’s health needs change over time, they won’t have to worry about moving to another senior living community.
It’s important to note that unlike other senior living communities, CCRCs have entry fees where, similar to buying a house, residents buy the right to live there. These entry fees can range from $40,000 to more than $2 million. The national average is approximately $402,000. In addition to the entry fees, monthly expenses, basic living expenses, and services provided, costs can quickly start to add up.
Along with help with activities of daily living (ADLs), light housekeeping, and meal preparation, many CCRCs offer convenient access to a variety of amenities. These can include restaurant-style dining, fitness centers, swimming pools, and beauty salons. Some CCRCs also provide different housing options — such as condominiums, cottages, or private apartments — to suit individual preferences and lifestyles.
Types of Care Within a Continuing Care Retirement Community
Many families often wonder: How do continuing care retirement communities (CCRCs) work? CCRCs offer access to a range of support services, all in one location.
Let’s take a look at some of the common services they offer:
- Independent Living: This is typically the first level of support. Independent living services are designed for new retirees looking for a maintenance-free lifestyle. Residents usually live in private homes or apartments with convenient access to amenities like dining services, social activities, and wellness programs to help make their lives simpler and more enjoyable.
- Assisted Living: Assisted living offers more support with activities of daily living, including bathing, dressing, and managing medications. This type of service allows residents to stay as independent as possible while receiving assistance with specific tasks.
- Memory Care: People with Alzheimer’s or other forms of dementia often require specialized care, especially as their condition advances. Many continuing care retirement communities have dedicated memory care neighborhoods to support residents with memory challenges.
- Skilled Nursing Services: Skilled nursing offers specialized medical care similar to what you would find in a hospital. This level of support is usually provided by certified medical professionals, like nurses and therapists. Many residents may require skilled nursing services for short-term rehabilitation after an injury or surgery, or other health conditions that require ongoing medical support.
Why Choose a CCRC?
Deciding on the right support service for yourself or a family member takes careful thought and research. With so many options available, it’s natural to feel uncertain about which service suits your needs.
Here are a few reasons why a continuing care retirement community could be the right choice for you or your loved one:
- Continuity of Care: CCRCs allow residents to transition between different levels of support — independent living, assisted living, skilled nursing, and memory care — all within the same community.
- Social and Recreational Activities: CCRCs often provide a wide selection of enjoyable social, educational, and recreational activities, including activities like fitness classes, book clubs, group outings, and game nights for residents to enjoy.
- Convenient Access to Amenities and Services: In addition to providing assistance with activities of daily living (ADLs), many CCRCs offer convenient access to amenities like fitness centers, dining options, transportation services, and more to make everyday life more enjoyable for residents.
- Financial Predictability and Future Security: Unlike stand-alone senior living communities, a continuing care retirement community is a lifelong investment. While the initial cost is higher, it can offer access to various levels of support if your needs change over time.
How Much Do Continuing Care Retirement Communities Cost
When considering a continuing care retirement community (CCRC) for yourself or a family member, you might find yourself wondering, “How much do continuing care retirement communities cost?”
According to AARP, most communities charge an initial entry fee, which can range widely – from $40,000 to more than $2 million. The national average is about $402,000, but payment options can vary between communities.
Let’s take a closer look at some of the costs involved:
- Entrance Fees: Most CCRCs require a one-time entrance fee, ranging from tens of thousands to several hundred thousand dollars. This fee gives residents access to the community and its services. The exact amount can vary based on factors like the community’s location, available amenities, and the contract type you choose.
- Monthly Costs: In addition to the entrance fee, many communities charge a monthly fee. This cost typically covers your basic living expenses and many of the services provided. Monthly fees typically range from a few thousand dollars to several thousand or more, depending on what’s included. Most CCRCs provide free access to social activities, wellness programs, and transportation. However, additional services — such as personal support or specialized medical services — may come at an extra cost.
Types of CCRC Contracts
Most continuing care retirement communities (CCRCs) have detailed contracts that outline the cost and structure of your payments. When considering a community for yourself or a loved one, it’s always a good idea to talk to a financial advisor or attorney. They can help you understand the community’s paperwork and guide you toward an option that fits within your overall plan and budget.
There are several types of continuing care retirement community (CCRC) contracts, each with its own cost structure and level of future support coverage. Here’s a closer look at the most common ones:
- Type A Contract: Also known as an extensive or lifecare contract, this option usually comes with a higher entrance fee but offers more predictable monthly costs. With a Type A contract, residents can add support services — such as assisted living, memory care, or skilled nursing — at little to no extra cost.
- Type B Contract: A Type B contract, sometimes called a modified contract, often has a lower entrance fee compared to Type A. However, it only provides partial coverage for future support. For example, if your family member’s needs increase, you might pay reduced rates for certain services but not full coverage.
- Type C Contract: Known as a fee-for-service contract, this type of contract has the lowest upfront cost and operates on a pay-as-you-go basis, meaning residents only pay for the services they need. While this may seem like an affordable option at first, it’s essential to plan for the possibility of higher costs down the road if your loved one’s care needs change and more services are required.
- Rental Contract: Some CCRCs offer rental contracts that don’t require a large entrance fee. Instead, you pay monthly fees, similar to traditional senior living communities, with additional support services charged at market rates. This option gives you more flexibility, though it may not provide the long-term cost savings of other contract types.
CCRC vs Other Care Options
When exploring arrangements for yourself or a loved one, it’s important to know the differences between available support services.
Below is a comparison of continuing care retirement communities (CCRCs) and other common senior living options you might consider:
| Aspect | CCRC | In-Home Care | Adult Day Care | Nursing Home | Hospice | Senior Living |
|---|---|---|---|---|---|---|
| Care Level | Different levels of support within one community | Assistance with activities of daily living (ADLs) at home. | Daytime supervision and activities | Access to 24/7 medical services and assistance with ADLs | Compassionate end-of-life support | Different levels of support within one community |
| Average Cost | High entrance fee and monthly fees | Varies based on services needed | Lower cost than full-time support | High monthly | Typically covered by insurance | Varies based on services needed |
| Activities and Events | Wide range of social, wellness, and educational activities | Not usually provided unless arranged privately | Social activities during the day | Limited activities, mostly focused on medical support | Not usually provided | Wide range of social, wellness, and educational |
| Flexibility and Continuity of Care | High flexibility with multiple levels of support available | High flexibility, but continuity may vary with providers | Daytime care only, typically no overnight services | Residents often remain in one support level | Focused on comfort and support at home or in a community | Varies by provider, but often a full continuum |
| Ideal Resident | Seniors and new retirees seeking long-term support options in one community | Individuals seeking to receive assistance at home | Older adults needing daytime care | People with complex medical needs | Individuals with terminal conditions | Seniors seeking community, comfort, and fun activities |
How to Choose the Right CCRC
Choosing a CCRC is a big decision. Whether you’re planning for yourself or a loved one, it’s important to find a warm and supportive community that feels like home.
Here are some key things to look for during your search:
- Financial Obligation: CCRCs have significant entry fees, and residents pay for the right to live there. Entry fees can range widely from $40,000 to more than $2 million, with a national average of more than $400,000 just to get in the door. In addition to the entry fees and other monthly expenses, costs can range from a few thousand dollars to several thousand or more per month.
- Community Location Environment: Start by thinking about where you’d like to live. Would you rather stay close to family and friends or move somewhere with a warmer climate? Think about the community’s surroundings and how convenient it is to access places like shopping malls, parks, medical facilities, and other amenities that are important to you.
- Eligibility Criteria: Many communities have eligibility criteria that must be met before moving in. This can include age, health status, or financial requirements. It’s important to ask about these criteria early in the process to ensure that you or your loved one qualifies.
- Community Policies: Some communities may have pet policies, visitor hours, and rules for shared spaces that residents need to follow. Be sure these guidelines match your or your loved one’s lifestyle to avoid surprises later. For instance, if you’re a pet lover, it’s important to check if pets are allowed in the community.
Accreditation and Ratings: Accreditation and high ratings are often signs of a well-run community. Look for communities that meet national standards for quality care. You can check reviews from trusted sources, like Medicare ratings, and ask if the community is accredited by organizations like CARF (Commission on Accreditation of Rehabilitation Facilities). - Lifestyle Fit: Every community has its own personality. Some are more relaxed, while others offer an active, social lifestyle. Think about what’s most important to you — fitness classes, gardening, cultural events, or quiet spaces to relax? The right community should match your interests and preferences.
- Resident Satisfaction and Reviews: One of the best ways to gauge a community is by hearing from current residents and their families. Read reviews, ask for testimonials, and speak with residents during your visit. Their experiences can give you valuable insights into what life is really like in the community.
Tips for a Smooth Transition
Moving to a senior living community is a big step for everyone involved, and it’s perfectly normal to feel a mix of emotions.
Here are a few helpful tips for a smooth transition:
- Plan Early: Start planning as early as possible. This gives you and your loved one plenty of time to sort through belongings, visit the community, and adjust to this new chapter. Creating a checklist can help you stay organized and track your progress.
- Get Involved in Community Activities: Many CCRCs offer a range of activities, social events, and outings. Joining these programs can help new residents form meaningful connections and make the transition journey more manageable.
- Downsize Thoughtfully: You or your loved one have likely collected a lifetime of belongings. Consider the size and storage of their new living space. If you’re moving to a smaller apartment, you or your family member may need to downsize belongings to fit the new home.
- Give Them Time to Adjust: Adjusting to new surroundings takes time, and it’s okay if things don’t feel perfect right away. Share your concerns with your loved ones. Be reassured that it’s normal to need some time to settle in.
Let StoryPoint Group Be Your Guide
StoryPoint Group communities provide a wide range of senior living options, but notably, none of our communities are CCRCs. We do understand the unique challenges that you go through when caring for your parents — which is why you need the best support you can get. If you believe your loved one could benefit from a senior living community, or if you would like to discuss the differences between senior living and CCRCs, we’re here to help. To learn more about our communities, contact us or call us at 1-844-275-9990. We can’t wait to get to know you!
