Living Costs Home Vs. Assisted Living
Upcoming SlideShare
Loading in...5
×
 

Living Costs Home Vs. Assisted Living

on

  • 1,455 views

Accessible Home design vs. Assisted Living. A graphic cost and benefit analysis for children with aging parents can use to discuss long term living and investment strategies for the benefit of all.

Accessible Home design vs. Assisted Living. A graphic cost and benefit analysis for children with aging parents can use to discuss long term living and investment strategies for the benefit of all.

Statistics

Views

Total Views
1,455
Views on SlideShare
1,450
Embed Views
5

Actions

Likes
1
Downloads
17
Comments
0

1 Embed 5

http://www.linkedin.com 5

Accessibility

Upload Details

Uploaded via as Microsoft PowerPoint

Usage Rights

© All Rights Reserved

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

Living Costs Home Vs. Assisted Living Living Costs Home Vs. Assisted Living Document Transcript

  • HomeAccessibility asan Alternative to Retirement Community &Assisted Living Presented By: DMH DESIGN LLC All Content Contained Herein:Copyright 2002-2011 DMH DESIGN LLC All Rights Reserved
  • Purpose To Inform the Public About the Benefits, Economics, Facilitation, Design Essentials and DesignExamples of Remaining in the Home Long Term. Staying in the Home vs. Moving IntoRetirement & Assisted Living is Not For Everyone. However, Many Believe this Provides a Very AttractiveAlternative When Both Options Are Equally Weighed, In Terms of Finances & Familiarity With One’s Surroundings. (Updated for 2010 Census Data)
  • About DMH DESIGN LLC 10th Year as Sole Proprietor Designed Residential Projects in 5 States WA/ID/MT/WY/NY 29 Years Total Exp. In Architecture/Design Extensive Knowledge and Experience in Accessible and Universal Design (Worked on Covenant Community & Emeritus Projects From1998-2000) MBA Built Green Member Designed/Built Mother an Accessible Home in 2005 Designed an Addition to Seattle Home w/ Acc. Baths & Fut. Elev. In 2007 Designed Elevator Addition to Lk. WA Home in 2010 Current Projects Include (2) Remodels, one in Capitol Hill and one in View Ridge For Clients w/ ALS.
  • Statement of Intent:To Educate The Public About What Choices Need to Be Made as Part of Any Comprehensive Retirement Strategy.Beginning Early On With a Strong Foundation of Insurance & Diversified Investments, Followed By Timely Real Estate Purchases and Legal Advice, Most Can Ensure Creating a Sound Financial Vehicle For Their Retirement. Many Believe the Ultimate Reward of Life’sEffort is To Build a “Dream Home.” This Shouldbe Defined as a Home They Will Never Have to Leave, Except By Choice, or Health. ThisBlueprint is to Assist Those Wishing to Stay in the Home.
  • Staying In The Home as an Alternative toSelling the Home toEnter Assisted Living Part 1: Benefits
  • Stay In Home or Sell Home/Move into ALF Pros:  Cons: Equity  Loneliness Familiarity  Maint. $400/Mo. Family Functions  Food $200/PP/Mo. Holidays w/ Family  Prop. Taxes/Insur. Family Memories $350/Mo. Possessions  Utilities $100/PP/Mo. Space  Isolation Freedom  Housekpg $300/Mo. Driving  Driving  Memories  No “24-Hr.” Care
  • Moving to an ALF or Staying in Home Pros:  Cons: 2-3 Meals/Day  “Buy In” Facilities ($$)  Monthly Rental = No No Equity Maintenance  No Sense of Place No Taxes  400 s.f. Apt. (Average)  Lonely For Family No Utilities Members Group  Few Immediate Friends Activities  Few Can Visit You in Room at Same Time Socialization  Relatives Can’t “24-Hr.” Care Stay(Small Apt.) Without Prior Notice & Extra Unused Apts.  Few Personal Possessions  Requires Transport Between Relatives Homes & ALF During Home Visits
  • Staying In The Home as an Alternative toSelling the Hometo Enter Assisted LivingPart 2: Economics
  • Target Audience Primary Seniors Aged 65+ Empty Nesters SecondaryMulti-Generational Households Families w/ Special Needs or w/ Spinal Cord Injured
  • Case Study: Seattle, WAPopulation 608,660 (2010 Census) Average Age = 38 Yrs. Old Aged 65+ = 65,735 (10.8% of Population) Home Ownership = 49.6% of Total Pop. Therefore: 65,735 x .496 (49.6%) = 32,605 (min. est.) Persons Aged 65+ Living in Homes Median Home Value = $446,900Closing/Taxes/Commissions= $44690 (10%) Net Proceeds After Sale = $400,210
  • TypicalIndependent/ Assisted Living Facility Costs (SEATTLE):(According to LTCG Members/General Research) $3k- 5k /PP/Month $36k – 60k/PP/Yr. *Average Stay: 5 yrs. +/-Therefore, Based Upon Net Proceeds From an Average Seattle Home Sale, Your Length of Stay in a Private Pay ILF/ ALF Would Be: $400,210 /1P x $36k/Yr = 10 Yrs +/- (infl.) 2P x $36k/Yr = 5 Yrs* Or $400,210/1P x $60k/Yr = 6.5 Yrs +/- (infl.) 2P x $60k/Yr = 3.25 Yrs*
  • Case Study: King County, WAPopulation 1,931,249 (2010 Census)Aged 65+ = 193,630 (10.6 % of Population) Home Ownership = 60.9% of Total Pop. Therefore:193630 x .609 (60.9%) = 117,921 (min. est.) Persons Aged 65+ Living in Homes Median Home Value = $398,600Closing /Taxes/Commissions= $39860 (10%) Net Proceeds After Sale = $358,740
  • TypicalIndependent/Assisted Living Facility Costs (King County):(According to LTCG Members/General Research) $3k- 5k /PP/Month $36k – 60k/PP/Yr. *Average Stay: 5 yrs. +/-Therefore, Based Upon Net Proceeds From anAverage King County Home Sale, Your Length of Stay in a Private Pay ILF/ALF Would Be: $358,740 /1P x $36k/Yr = 9.8 Yrs +/- (infl.) 2P x $36k/Yr = 4.9Yrs* Or $358,740 /1P x $60k/Yr = 4.9 Yrs *+/- (infl.) 2P x $60k/Yr = 2.95 Yrs*
  • Case Study: Seattle, WATypical Average Costs1 Person: At Home vs. ILF/ALF* Avg. Monthly Cost /1 Person 1 Stay @ Home 1 Rental Costs ILF/ALF Rent (avg.)* $ - $ 4,000.00 Maintenance/HOA Dues $ 400.00 $ - Food $ 300.00 $ - Prop Taxes/Insurance $ 350.00 $ - Utlities E/Ph/W/S $ 250.00 $ - Cable/Internet $ 130.00 $ - Housekeeping $ 300.00 $ - Monthly Total $ 1,730.00 $ 4,000.00 * 12 Month Total $ 20,760.00 $ 48,000.00* *Assumes No “Buy-In” Fees @ ALF Assumes No Added Care @ ALF Assumes No Mortgage Balance Assumes No Auto Expense Assumes No CNA/LPN Home Care Assumes No MediCare Suppl. Premium
  • Case Study: Seattle, WATypical Average Costs2 Persons: At Home vs. ILF/ALF* Avg. Monthly Cost /2 Person 2 Stay @ Home 2 Rental Costs ILF/ALF Rent (avg.)* $ - $ 8,000.00 Maintenance/HOA Dues $ 400.00 $ - Food $ 600.00 $ - Prop Taxes/Insurance $ 350.00 $ - Utlities E/Ph/W/S $ 300.00 $ - Cable/Internet $ 130.00 $ - Housekeeping $ 300.00 $ - Monthly Total $ 2,280.00 $ 8,000.00* 12 Month Total $ 27360.00 $ 96,000.00* *Assumes No “Buy-In” Fees @ ALF Assumes No Added Care @ ALF Assumes No Mortgage Balance Assumes No Auto Expense Assumes No CNA/LPN Home Care Assumes No MediCare Suppl. Premium
  • Typical Annual Cost Comparison (From Previous Charts) At Home vs. ALF* 1 Person/2 Persons $21,000 -27,000/Yr. To Stay at Home $48,000 -96,000/Yr. To Rent an ILF/ALF Apartment* *Not including Any “Buy In” Fees, Addingas Much as $100k –$700k While in Residence at a Retirement Community/ALF. The Result: A Dramatic Cost Difference: $27,000 – 70,000 LESS PER YEAR*, AT A MINIMUM , TOREMAIN IN YOUR HOME While Maintaining Equity!
  • Staying In The Home as an Alternative toSelling the Hometo Enter Assisted LivingPart 3: Facilitation
  • Essential Financial Components For Retiring Comfortably (Allowing Flexibility to Stay In Home, If You Prefer) Insurance  Real Estate Life (T/W/U)  Existing Home Health (HSA) Equity LTC ($ Pool/$ Home  Rental Properties? Access Modif.)  Retirement (?) Financial  Pensions Sound Investment  Buyouts Strategy  Inheritance (?) Legal  Limited Ptshps. Will  Trusts et al Business Plan
  • Essential Components of Your Lifetime Financial Strategy Retirement Real Estate Legal/ Business Health/ Finance/ Insure Invest Working Life
  • Relevant Statistics:80% of US Population Wants To Stay in Their Homes Throughout Life, Given a choice.Long Term Care Insurance Is Approx 7-10%Cheaper When a Policy is Enacted Prior to Age 50. LTC Policy Benefits Are Typically Paid OutFrom a Pool of Money, to Those Remaining in Their Homes &/or Residing in ALFs. 2 Out of 5 People aged 60 are in Adult Homes or Assisted Living Care. People Who Own Their Present Homes, Aged62 & Over Are Eligible For Reverse Mortgageson Their Existing Properties, or to Purchase a Different Property, if They Desire. (Dependant on Available Equity/Liquidity)
  • Reverse Mortgages: Given the Current Economy, Investments Have Lost Value, as Have Home Values, Putting Many Well Laid Plans at Risk. A RM May Facilitate Your Ability to Keep Your Existing Home and Any Equity YouHave, in Order to Fulfill Existing FinancialObligations or to Purchase a Different Home Which Is More Appropriate For Long Term Residence. A RM Can Also Provide Monies for a Long Term Care Policy A RM Can Provide Money for Partial Accessible Retrofit of an Existing or New Home A RM Can Provide Money for In-HomeCare, Should You Wish to Stay in Your Home Long Term
  • Staying In The Home as an Alternative toSelling the Home to Enter Assisted LivingPart 4: Design Essentials
  • Your “Retirement Environment”If 80% of the Population Wants to SpendTheir Lives Living in Their Homes, What Long Term Design Priorities Should Be Considered?: Accessibility: Building Access & Orientation Minimize Interior Travel DistancesAll Rooms Close to Core Home Functions Functionality: Outside Meets Inside Room Flexibility Comfortable Practicality: Location Safety Size
  • What is Accessible Home Design? Design For Long Term Needs-- NOT For Ego Level Building Access; Level Site Access Throughout is Also Desirable! Eliminate Steps From Outside to Inside of Home & Within Home as Possible Minimize Need for Vertical Circulation (If 2-Story Leave Room for Fut. Elev.) Maintain Short Travel Distances Throughout Main Level of Home Wider Halls/Larger Doors/ADA Levers Adaptable Cabinetry/Lower Appliances/Shallow Pantry/Grab Bars @ Baths
  • What is Functional Home Design? Design For Long Term Needs-- NOT For Ego Bauhaus Principles: Form Follows Function=“Design Within Reach” Miesian Principles: Less IS More—Common Rooms Serve Multiple Uses, Reduces Home Size Kitchens are the “Hub” of Home Activity: Design Your Home Accordingly Emphasize Property Positives: Orientation, View, Landscaping
  • What is Practical Home Design? Location x 4 Schools/Work/Shopping/Activities Design to Client Budget--Not For Ego “Fits in” With Neighborhood Style Promotes Family Safety & Outdoor Activity, Whether On the Property or at the Park Down the Block Not Too large, Not Too Small: Designed to YOUR Needs, Wants & Furnishings
  • Schematic Design of an Accessible Home (Room Relationships Are Very Important!)Kitchens are the “Hub” of All Home Activity; All Rooms Should be in Close Proximity
  • Staying In The Home as an Alternative toSelling the Home toEnter Assisted Living Part 5: Design Examples
  • Accessible Home Plan Typical FeaturesHeat PumpVan Access GarageAccessible Bdrm.Accessible BathAccessible UtilityLevel @ Gar/HouseAccessible Kit/Nook DRIVEWAY / PARKINGLevel Entry @ FoyerAccessible Dining &Living RoomsPanel in Mstr. Suitew/ Gen. SwitchAccessible WIC/Bath/Mstr. SuiteAccessible Cov.Porch N MAIN FLOORLevel Entry @ Ext. PLANPorch & GarageGas FireplaceOPTIONAL UPPERFLR (Via FutureElevator)
  • Accessible Home DesignFlat Site = Easy Access/BeforeFlat Site = Easy Access/After
  • Accessible Home Design Rambler w/ Upper Story Over Garage Level Entry
  • Accessible Home Design Kitchens w/ Adaptable Cabinetry & Lower Appliances in Close Proximity Optimizing Functionality.Kitchen/UtilityUtility Room Beyond (Core Functions)
  • Accessible Home DesignBedroomsBathrooms/En Suite
  • Accessible Home Design Guest Suite (Wheelchair Accessible)Great Room (Wheelchair Accessible)
  • Accessible Home Design Modern Home on a Steep Slope: Garage/Entry on Low Side NORTH WEST
  • Home Remodel w/ Accessible Addition (See “Practical” Floor Plans)Existing BungalowRemodeled/Expanded Bungalow
  • Functional Home Remodel/ Addition (Part. Accessible)  Existing Main Floor Plan Existing/Remodeled Main Floor Plan New Stair Loc’n New Acc. Bath New Acc. Alcove New Fut. Elev. Abandon Exist. Bsmt. Stair/ Door Loc’n Acc. Ramp/ New Door Loc’n
  • Practical Home Remodel/Addition (Part. Accessible) New Upper Story Addition New Acc. Bath New Acc. Hall New Fut. Elev. New Acc. Bdrm.
  • Accessible Homes: Regardless of Your Stylistic Preferences, Homes Can Be Designed to Meet Your Long Term Needs, While Protecting Valuable Assets: Home Equity & Marketability.Duplex/Tri-Plex/Four-Plex Homes: Providing Safe, Level & Open Residences for the Owners w/ Rental or Sales Income, as Needed. Mid-Century Modern Craftsman
  • DMH DESIGN:Home Design For a Lifetime.Copyright 2002-2011 DMH DESIGN LLC All Rights Reserved