I was checking into some AL and MC facilities for a friend and man was I shocked. The prices do vary and quite a bit. There are thousands of dollars difference in the same things. What really caught my attention was the $2500.00 move in fee. This is just to let you in the door and move in. It's not them paying for packing, unpacking, transport, etc. I spoke with two places who had them. One place was only $1500.00. I'm just curious as to whether this has become common. When, I was researching ALs in 2014, no one mentioned a move in fee.
I did the same as Lisa, above. I hired a moving company to move the furniture and items that my Dad was moving to Independent Living. Later down the road when Dad needed to move to Assisted Living, the maintenance workers moved the furniture Dad was taking, which was only a few things. The small stuff, his caregiver and I moved, like all 200 books :P What was left, I called a hauling group that also did donations.
Usually with Independent Living and with Assisted Living there are options to choose from which would bring up the monthly rent.... or the price is set with everything included.
Some Independent Living places offer only one meal, the rest you do in your own kitchen in your apartment.... other IL will offer 3 meals a day. Some will offer linen service as part of the rent, others will charge extra. Some will give free transportation to stores and doctor appointments, other place might charge a fee.
Basically, it's an expensive way to pay for carpet cleaning and some painting from what the last resident did during their time there. It's a racket that's pretty much unavoidable.
It has been one year since she moved in and the place is full so they can pretty much charge what they like and her monthly rate just increased by $450 for a shared room
When my Dad moved into Independent Living, he was looking the last week in December. The place had an apartment that would be ready in two week if he could wait. Dad wasn't sure. Then the complex gave him a discount on his rent plus one month free. Dad smiles and said "yes'. I guess no one on the waiting list wanted to move in January :)
The prices really do vary. Gouging really. I almost said in response to the move-in fee....And they let you get away with that?
I wonder how those places with a move-in fee would respond, if the client said, "We are interested. We are private pay and would like to move daddy in, but, we are not paying a move-in fee. If that can't be waived, we'll go to the next one on our list." And then do it.
There may be a big demand for AL, but, from my inquiries, ALL of them had availability. Even MC.
For old people, the reasoning would be pretty close to the same, except the damages are going to be worse. Urine has a much stronger holding power than beer, and usually is applied over a larger area - not just the living room. If urine soaks through the carpet padding (usually not the case with beer since that is just one cup full), it gets into the plywood subfloor and reeks! That is a much more expensive clean up.
And how about the extermination that is required? Kids get roaches, which are pretty straightforward to get to an acceptable level; old folks don't mean to, but they bring in book lice, scabies, and other creepy crawlies from their special items from home that have not been moved in years.
Finally, our elderly resident that caused the damages is not just out of state, but gone! I could submit that bill to probate, but if the estate has no money left - common in the world of trying to get Medicaid to pay for everything - then I'm left paying for damages out of my pocket. Again, why would I invest in an elderly residence if I'm not making a minium rate of return?
If you want to have more homes available/ shorter waiting lists, people have to be willing to reward the investors who build them by paying for the service. They don't spring out of the ground fully formed - someone has to pay to build and maintain the building.
Here's a tip...not all, but many communities are 'softest' in this area if you are looking to deal. They will reduce or even waive the fee on a case-by-case basis or across the board as a promotion when they have more than a couple apartments available.
My office is in the middle of helping investors who want to partner with a company that will build a nursing home, and the birth of the idea was over a year ago. We are still dealing with the County who have been extremely helpful. Everything has to tie together, and that in itself is very complex.
Cost of building, the sub-contractors from every aspect, plus cranes to come in to lift the beams, the list goes on and on. Winter weather can stall a project. Heavy rains can stall a project. Worker strikes can stall a project. It could take a year just to complete a structure before the first paying client comes through the doors.
Once the building is up and running, there is the cost of 3 shifts of nurses... aides.... Med techs.... cleaning crews.... maintenance crew... linen service.... kitchen staff & waitstaff for the dining rooms.... landscape maintenance that not only takes care of the grounds and parking lots but do snow plowing. Cost of huge electric generators in case the power goes out.
The cost of Admin staff.... front desk service.... "cruise director".... medical insurance for the employees.... cost of phone service... cable service. Imagine what the real estate property tax would be on that building. Imagine what the liability insurance would cost. Heavens, imagine what the electric bill and water bill would be !!
Now one can get an idea why Independent and Assisted Living is expensive. I found it a lot cheaper than having my Dad remain in his home and have 3 shifts of caregivers from a private licensed Agency.
The money I saved for a fun-filled retirement is now being earmarked for future continuing care for myself. The was all an eye opener.