The Affordability Problem in Senior Living

by | Dec 28, 2023 | Blog

For middle-class Americans today, plenty of things earlier generations considered luxuries are now run-of-the-mill expenses. Whether it’s a summer vacation or an occasional fancy dinner, these treats may not be cheap — but they are typically within reach. For many, though, the idea of moving into a senior living community, no matter how needed it may be, is still a daunting financial challenge.

The “Forgotten Middle”

According to a 2019 article published in the journal Health Affairs, there will be 14.4 million middle-income older adults by 2029, double the number recorded in 2014. Assuming an average cost of $62,000 per annum, 54% of those seniors will be priced out of the senior living market.

Researchers call this group the “forgotten middle.” Those with the highest incomes can choose from a wealth of senior living options. At the other end of the spectrum, there’s a safety net provided by Medicaid and similar means-tested programs. However, if you land in the middle, the options are more challenging.

For many of us, the idea of an “affordable” senior living community conjures images of something drab and functional — secure, but not necessarily inviting. Some middle-income older adults even consider alternatives to senior living communities like market-rate apartments and accessory dwelling units (ADUs) — such as a guest house or a detached apartment — on a family member’s property. However, market-rate apartments are designed with younger working adults in mind, which means that the prices are likely too high for a middle-class retiree. Furthermore, not all communities allow ADUs to be constructed.

Unless we shake up both the underlying reality and the stereotypes that senior living generates, there will always be a gulf between what middle-class Americans want and what our budgets permit.

All-inclusive Senior Living Made Affordable

More middle-class Americans are living longer, healthier, more active lives, and that’s a good thing! So why not cater to the future today? At Prime Independent Living, we’re already providing solutions for seniors who make a middle income. We meet the inclusive housing challenge by building senior living communities that are fun, fulfilling, and budget-friendly. 

Our dedicated team takes care of all the housekeeping and maintenance, giving residents plenty of free time to enjoy our 18-hole putting green, our pickleball court, or our packed calendar of activities. All-inclusive living means your monthly fee includes all utilities and Wi-Fi, plus three garden-fresh meals a day and all the coffee and soft-serve ice cream you want from our on-site cafe. Each of our properties is also pet-friendly, so you can bring your four-legged friend with you.

Discover how you can enjoy a budget-friendly retirement without sacrificing quality when you contact us to find out more.

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