Pros and Cons of Moving to a Retirement Community

Key Points

• Most retirement communities tend to cater to those age 55 and over.

• Larger communities offer various options, from independent living to skilled nursing.

• Keep in mind that they can have a lot of rules that can be tough to get used to.

• The $23,760 Social Security bonus most retirees completely overlook ›

There's a great quote by anthropologist Margaret Mead: "Always remember that you are absolutely unique. Just like everyone else." It was Mead's much classier version of "Different strokes for different folks." No matter how you say it, though, it's true. Everyone has a slightly different idea of their ideal relocation spot for retirement.

For example, years before they passed away, my parents moved to a retirement care community with graduated care levels. My dad wasn't wild about leaving his home and garden, but he was wild about my mom, so he went along with it. Mom, on the other hand, was in her element. It offered all the excitement she craved and allowed her to socialize to her heart's content.

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On the other hand, I once lived near a woman who, after years of retirement planning, moved to a retirement community. She almost immediately regretted it due to the rules regarding how long her grandkids could stay overnight. According to her, it felt like she was always about to break a community rule.

Image source: Getty Images.

What is a retirement community?

A retirement community offers age-restricted residential housing for older adults, typically 55-plus. Amenities and services offered vary depending on the community. Most provide a maintenance-free environment, and include services like lawn care. Others add housekeeping, dining, and planned activities to connect residents socially.

Whether a retirement community is right for you depends a lot on your expectations. For example, if you're a bit of a homebody, you may be interested in a community that provides tons of fun activities. If you're using AI to find the best deals and travel the world, you may be looking for a landing pad, a place where you can hang out when you're home.

Here's a rundown of both the pros and cons.

Pros

Retirement communities have plenty to offer. Here are a few of those features.

There's something for everyone

It's easy to imagine all retirement communities as large and lively as the one featured in the 1985 movie Cocoon, but these communities come in all shapes and sizes. For example:

• Senior living apartments: Independent living, age-restricted residences for those who want to downsize or enjoy a more maintenance-free lifestyle.
• Independent living: Older adults live in apartments or cottages but have access to community amenities, like dining and social activities. They manage their own daily tasks and take care of their own medical needs.
• Assisted living: Perfect for the senior who needs help with tasks like dressing, bathing, and medical management. Assisted living provides the assistance they need while allowing them to remain independent.
• Skilled nursing care: The highest level of care offered, providing 24/7 hands-on assistance with daily living and medical needs.
• Memory care: Explicitly designed to meet the needs of those with Alzheimer's or other forms of dementia.

Finally, there's the type my parents moved into, called a continuing care retirement community (CCRC). A CCRC provides graduated levels of care. For example, Mom and Dad started out living independently, but as the years passed and they required more assistance, they moved into assisted living. Shortly before her death, Mom transitioned to skilled nursing care.

My mother was thrilled to know that she didn't have to leave "her home" to receive the level of care she needed.

Socialization

If you're a social person, it's easy to stay engaged when surrounded by so many people who share many of your generational memories and are happy to invite you to join them in a game of gin or euchre. Socialization is a huge part of healthy aging and readily available in retirement communities.

Plenty to do

My dad was never one to sit around, and having activities a few steps from his front door was an ideal setup. He could take a dip in the pool, lift weights in the gym, or spend a few hours scouring records with other genealogy enthusiasts.

Cons

While retirement communities can be the right choice for some, they're not right for everyone. Here are a few of the cons associated with retirement community living.

Cost

As mentioned, the cost of living in a retirement community varies wildly, based on where you live, services provided, and amenities. The following represents 2024 national averages:

Data source: A Place for Mom

If, like my mother, you want to move into a retirement community you'll never have to move out of, regardless of how much care you require, the average entrance fee is $300,000.

There's no denying the fact that healthcare costs in the U.S. are expensive. If you have an eye on a specific community, check with them for more information before deciding. The entry fees in your area may be lower.

(Potential) loss of hobbies

Once he retired from the Marines, my dad turned his attention to creating a stunning garden, an oasis from every dark thought in life. Other than the light in his eyes whenever my mom entered the room or his interactions with his much-loved grandchildren, I never knew my father to be happier anywhere than he was in the garden. Since he couldn't go outside and take over the groundskeeper's job, he had to be satisfied with the few plants in their apartment. He never complained, but it was a price he paid to move to a strictly regulated community.

Lack of age variety

As someone who works with brilliant adults the same age as my children, I can testify to the benefits of having friends of all ages. They keep me sharp and on my toes, and they make me smile -- a lot. While the socialization aspect of retirement community living is excellent, it does minimize the number of people of other ages you'll meet.

Rules regarding visitors

While I understand why most retirement communities have strict limits on the number of nights visitors can stay, this would be harder on some residents than others.

Like all significant decisions in life, it pays to do your research before deciding on a retirement community. If a retirement community is right for you, ensure that your finances are in order and you have a solid withdrawal strategy in place to cover the costs.

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