AN OPINION: “Older adult finances and future senior housing options are out of sync” – Aging In Place Technology Watch
Rant on. A sad tale – reading the lament about the numbers of seniors who will not be able to afford assisted living in 10 years. The report is from NIC – the National Investment Center that provides research to the senior living industry. The upshot – 54% will be unable to pay the $60,000 average annual cost of assisted living (make that $93,000 in Washington DC), even if they sell their home. If one member of a couple is still living in the home, the number rises to 81%. According to the study, 60% of the population aged 75+ will have mobility, cognitive impairment or chronic conditions that would characterize them as good candidates for assisted living services and settings – but will not have the savings to enable them to move in.
There are some problems with this study’s message to the industry. First the affordability gap of assisted living and the population that could benefit. This has been a statistical fixture forever (move in age of 85 noted in 2012 and again in 2015). What has changed, if anything, is life expectancy. For those aged 65+, living into the late 80s or even the 90s is increasingly likely. Looking at life expectancy lasting to mid-to-late 80s combined with average savings for those aged 75+ of $16,025 for a couple with no children, it is no wonder that the steady state penetration of assisted living remains stuck at 10% of the likely population, at least according to the industry. According to NCAL, seniros stay 22 months on average, before moving to skilled nursing. With assisted living occupancy at 85% being attributed to over-building, but one might also posit that price-plus-life expectancy keeps even the willing and interested at home.
Consider the operating margin of 34% and the real cost – can tech help? This industry has been a real estate investment play from the very beginning. One executive interviewed for the NIC study observed, reluctantly, that margins could be compressed to create more affordable options, perhaps by building on less expensive land. Hopefully not from robbing the pay of CNAs who do the real hands-on labor – their average pay of $11-12/hour nationwide can’t be pushed down much further. Maybe high-end food choices could be trimmed, the lobby furniture more modest, or the long-shot on operational costs, noted in the Health Affairs the study: “Technology is already driving innovation. The implementation of an ever-expanding panoply of high-tech solutions such as artificial intelligence, voice technology, smart phone apps, smart sensors, and telehealth can help improve quality of life, and care, while reducing costs.” Right.
The margin question is about people — how to need fewer or boost pay to recruit. The staff-to-resident ratios may, in some states, already be too thin to handle assisted living memory care residents. For families of a resident, that means supplementing the $60K annual cost with the hidden cost of needed private duty home care aides (same hourly rate). For many, that additional cost may drive families elsewhere, to nursing homes or back home. But the real problem will limit expansion of assisted living is a shortage of available workers — for assisted living, skilled nursing and home care. Where to recruit this low-paid workforce in a high employment time, competing with wage levels of Walmart and McDonald’s? Finally, will we read the same lament in 10 years about the large population of now-aged boomers who cannot afford assisted living? Count on it. Rant off.
“More than half of middle-income seniors will lack resources for housing and care, study says” – The Boston Globe
(SUZANNE KREITER/GLOBE STAFF/FILE/2012)
by Robert Weisman
“For more than half of middle-income Americans over 75 years old, senior housing with health care services will be out of reach in the coming decade, a new study warns.
“The report, published Wednesday in the journal Health Affairs, is the first comprehensive look at a vast and growing demographic group researchers call the ‘forgotten middle’ — people who can’t afford private assisted-living facilities but don’t qualify for subsidized nursing home care unless they spend down the assets they accumulate during their working years.
“As the ranks of retired baby boomers swell and many live longer than their parents, the study projects that by 2029 about 14.4 million middle-income seniors — nearly double today’s number — will lack the financial resources for housing that offers personal care assistance.”
Property Tax/Rent Rebate Program: Overview and How to Apply
This webinar will provide a brief overview of the PA Department of Revenue’s Property Tax/Rent Rebate Program, eligibility requirements, and information on how to fill out and submit forms for the program.
Chantel Hardaway, PHR, Chief of Outreach and Education, Customer Experience Center, PA Department of Revenue
Donald Bianchi, CPA Director of the Customer Experience Center, Department of Revenue
“Many older adults own homes with rooms to spare and could use some help around the house. Young, helpful renters need safe, affordable places to live. Nesterly is helping them find one another.”
“PHOTO BY GARY BATTISTON, CITY OF BOSTON – Brenda, an empty nester, and Phoebus, a Ph.D. candidate from Greece, used the Nesterly website to become housemates in her Boston home.”
“Noelle Marcus and Rachel Goor, urban planning graduates of the Massachusetts Institute of Technology turned business partners, wanted to put their skills to use in addressing two housing crises: the paucity of affordable housing and the financial difficulties faced by older people who don’t want to give up their homes.
“The result: Nesterly, a website that connects older people who have rooms to spare with young and lower income people seeking medium-term affordable housing. ‘Homeshare with another generation: The easy, safe way to rent a room,’ states the site’s homepage.
“Launched in 2016, in partnership with the city of Boston, the service stems from the chaos of Hurricane Sandy, which hit the Northeast hard in October 2012. At the time, Marcus noticed that Airbnb was asking its hosts to house people whose homes were in danger from the storm.”
Continue reading this article at AARP, click here.
We’ve been reading so much about advantages that aging persons can accrue with the introduction of emerging technology, we decided to list some of the articles.
Aging In Place Technology Watch shares this in today’s newsletter: “… it’s good to see that Envoy (concierge service for independent living), Kindly Care (home care agency), Caremerge (home care platform), and Seniorlink (care coordination) are in their same businesses from 2016 – and others from the period like Envoy and CareLinx received additional investment and moved forward.
“Smart Home Technology Becomes a Must-Have in Senior Living” – Senior Housing News
“Home Instead Inc. — the international franchise company behind the Home Instead Senior Care network — is joining forces with senior-friendly tablet startup GrandPad in an attempt to reduce client loneliness and improve connectivity.” – Home Health Care News
“Where the Home Health Aide Shortage Will Hit Hardest by 2025” – Home Health Care News
by Ed Carter
PHOTO: Courtesy of Pixabay.com.
Fewer than 5 percent of all homes in the United States are accessible to individuals with disabilities; less than 1 percent are wheelchair accessible; and just one-third are capable of being modified to accommodate a disabled owner. That’s according to no less an authority than the US Department of Housing and Urban Development (HUD).
It’s a distressing situation for disabled homeowners, because it means that many have to settle for properties that aren’t suitable for them from the standpoint of safety. Depending on the size of the market, that could mean having to try to modify a home that doesn’t meet the minimum standard of disabled accessibility: a stairless entry, and a bathroom and bedroom on the first floor.
That’s a sobering situation for a disabled person entering the housing market. So, where can you turn for help, and what resources are available to a handicapped individual? In most cases, your real estate agent is your best asset, even though many lack experience working with disabled buyers. Consequently, there’s a knowledge gap among realtors when it comes to knowing where and how to look for suitable housing.
Nevertheless, your agent will know the area well and have familiarity with what’s available, valuable knowledge for someone needing to find a property that can be adapted to their needs (such as a single-story house, a home with widened hallways, and specific safety features). With many disabled individuals having to modify houses, it’s important to know where to look for alternate sources of funding, such as through the VA, Red Cross, Americorps, the US Office of Housing, and HUD.
Real estate search engines are generally fairly limited in terms of search options. Terms like “handicapped accessible” and “universal design” may yield some results, but there are few other filters available that can produce the kind of results you need. General real estate search engines may prove disappointing, but there are a couple of national websites that are worth keeping an eye on as you work through your search.
Fortunately, it’s not all bad news for disabled homebuyers looking for online assistance. Barrier Free Home is virtually unique in its focus on barrier-free, wheelchair-accessible, universally-designed, ADA-compliant homes and apartments. Theirs is the most extensive database catering to disabled homebuyers. Barrier Free Home’s property entries contain an exhaustive amount of information, including number of bedrooms and baths, as well as handicapped-specific features, like roll-in shower or tub, roll-under sink, level entry and whether the property is VA approved.
Easy Living Homes falls into much the same category. It’s America’s first voluntary program encouraging the inclusion of features that make a property more accessible and efficient. An exhaustive list of features includes the type of lighting available, the kinds of material used in construction, and disability-accessible features. AMS Vans is a useful online resource for wheelchair-bound individuals seeking accessible housing.
HUD lists an online inventory of housing for elderly and disabled persons seeking multi-family homes. HUD’s subsidized apartment search offers disabled persons a robust listing of qualified units with information concerning suitability and accessibility for individuals with mobility restrictions and other special needs. A state-by-state search function provides an extensive listing of units in your area with physical features, contact information and whether each unit is specific to the needs of the disabled or elderly.
Finding a property that’s accessible to disabled buyers isn’t as easy as it is for people conducting searches on standard real estate websites. It takes some patience, flexibility, and knowing where to look. In the long run, your own persistence and the assistance of your real estate agent are your most valuable assets. As you search, bear in mind that some properties can be modified to meet your needs, which may help widen the parameters of your search.
SOURCE: news release
“A homeless man for over 30 years, who lives inside his car, repairs a bicycle on Sept. 23, 2015 in Hollywood.” – Kevork Djansezian/Getty Images
“In some parts of the country, like Central Florida, senior citizens make up about 10 percent of the homeless population.”
“The population of sheltered homeless seniors, age 62 and older, in the U.S. population rose from 2.9 percent to 4.7 percent from 2007 to 2016. That’s according to the United States Department of Housing and Urban Development. In some parts of the country, like Central Florida, senior citizens make up about 10 percent of the homeless population. And because there’s an affordable housing crunch, some homeless seniors are now living out of their cars.”
“A project for former service members could become a model for other cities in the United States.”
“In a community of tiny houses in Kansas City, Mo., Air Force veteran Leo Morris now calls #3 his own. (Christopher Smith/For The Washington Post)”
“KANSAS CITY, Mo. — The 13 tiny houses sit in neat rows on the small plot of land in south Kansas City. There’s a comforting uniformity to the group, each structure a simple A-frame or slant roof, painted a rich hue: deep blue or dark maroon, slate gray or mustard yellow. An American flag flies outside most of the homes.
The lives inside also match. The men and women here have all served their country in uniform. And every one of them was homeless before arriving this year and being given their own address and key.
“’We build communities — communities that are the beginning of a journey for those who said yes to this country and need someone to say yes back to them,’ said Brandonn Mixon, an entrepreneur who helped to found the Veterans Community Project out of frustration with the usual efforts to get veterans off the streets.”
Though this article comes from the Australian version of The Conversation, “Everyone has their own idea of what quality of care and quality of life in residential aged care may look like. The Conversation asked readers how they would want a loved one to be cared for in a residential aged care facility. What they said was similar to what surveys around the world have consistently found.“