Retirement Communities and Senior Living - How to Compare Your Options and Monthly Fees

Choosing where to live in retirement is one of the biggest decisions many older adults make.

Retirement communities range from active 55-and-over neighborhoods to independent living apartments and full-service communities that add care as needs change. This guide explains the main types of senior living, what monthly fees usually cover, how to compare communities near you, and the questions to ask before you sign.

Types of Retirement Communities and Senior Living

"Retirement village" and "retirement community" can mean several different kinds of places, so it helps to know the main options first.

55-and-over (active adult) communities are neighborhoods of homes, townhomes or condos for older adults who live fully independently. Residents usually buy or rent their home and pay HOA fees for shared amenities.
Independent senior living communities offer apartments or cottages with services such as meals, housekeeping, transportation and social activities, but no personal care.
Continuing care retirement communities, also called life plan communities, offer independent living plus assisted living and nursing care on one campus, so residents can stay as their needs change.
Senior apartments are age-restricted rentals. Some are income-restricted and charge rent based on what you earn.
Assisted living and memory care add help with daily activities or specialized dementia care for residents who need it.

What Monthly Fees Usually Cover

Monthly fees vary widely by location, community type and the size of your home. Depending on the community, the fee may include:

Rent or a service fee for your home or apartment
Some or all meals
Housekeeping and maintenance
Utilities and basic cable or internet
Transportation, fitness programs and social activities
Emergency response systems

Continuing care communities often charge an entrance fee in addition to monthly fees, and contracts differ in how much future care is included. Always ask for a written list of what's included, what costs extra and how fees have increased in recent years.

How to Find Senior Living Near You

Decide on location first: close to family, your doctors, or a new area you'd like to retire to.
List the services you want now and the ones you may need later.
Search for independent living communities near you and narrow your list to three to five options.
Tour in person, ideally at mealtime, and talk to current residents.
Compare written pricing and contracts side by side.

If you're open to moving, our guides to Tennessee's senior-friendly cities and senior-friendly cities in Utah compare housing costs in popular retirement areas.

Questions to Ask Before You Sign

What exactly does the monthly fee include, and what costs extra?
How much have fees risen each year recently?
Is there an entrance fee, and is any of it refundable?
What happens if my health changes and I need more care?
Can I make changes to my apartment or home?
What's the community's financial health and occupancy rate?
Can I review the contract with a lawyer or family member before signing?

Paying for Senior Living

Most people pay for retirement communities with savings, Social Security, pensions and home sale proceeds. Medicare doesn't pay for independent living or rent in a retirement community. Long-term care insurance, veterans' benefits or Medicaid may help with assisted living or nursing care in some cases, and income-restricted senior apartments can lower housing costs for people who qualify.

Frequently Asked Questions

What's the difference between a retirement community and assisted living?

Retirement communities and independent living are for people who live independently. Assisted living adds help with daily activities such as bathing and medications.

Can I move into a 55-and-over community if I'm still working?

Yes. Age requirements apply, but residents don't need to be retired.

How far ahead should I start looking?

Many people start a year or more before they plan to move, especially for popular communities with waiting lists.

This article is general information only. Fees, contracts and services vary by community, so review written terms carefully before signing.