Helping you find the best alternatives for funding your long-term care.

New long-term care financing alternatives emerge in response to senior housing financing crisis.

As reported in the New York Times, US News and World Report, and elsewhere, many seniors facing the prospect of long term care are unable to pay for their care today owing to the depressed real estate market. These aren't the classically poor seniors who've traditionally turned to Medicaid under these circumstances. Rather, these are elderly whose primary homes are their largest store of wealth, and they've planned on selling that primary home when the time was right and exchange the proceeds from that sale to secure a place in a senior living center or retirement home.

Vacancy rates at retirement homes and assisted living facilities are rising as this funding gridlock prolongs, causing these businesses to become creative and risk-taking in order to keep occupancy rates high. Some retirement homes, for example, are foregoing their customary entry deposits until the incoming residents can sell their homes.

Certain lesser-known funding strategies are gaining in prominence and popularity as seniors seek new solutions to pay for their elder care. Among these strategies are:

  • bridge loan products that lend up to $50,000 per year to a "consortium" of up to six family members who need to finance a loved one's care temporarily until the future sale of an asset such as the senior's home.
  • life settlement products, which purchase in-force life insurance policies from seniors for a lump sum that's greater than the cash surrender value of the policy.

Whereas the bridge loan products may generally be used solely for community-based care, the life settlement products can be used for about any purpose.

If you'd like to know more about these new funding strategies, please complete the following form:

The following are links to various articles about senior care funding.

Retirement communities offering discounts amid downturn
Chicago Tribune - Mar 1, 2009

Seniors crushed by housing crisis
MSN Money - Feb 25, 2009

Seniors Delay Moves to Retirement Homes, Wait for Real Estate Rebound
The Wall Street Journal - Dec 18, 2008

Unable to sell homes, Elderly Forgo Move to Assisted Living
New York Times - Nov 21, 2008

Retirement Communities Repond to House, Market Drops
U.S. News & World Report - Nov 10, 2008

Step 1: Fill in your contact information

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Step 2: Verify the answers to these questions

For whom are you seeking a senior living community?
Is the person needing care 72 years of age or older?
Does the person needing care intend to pay for senior housing with the proceeds of a house sale over the next 12 months?
Does the person needing care have an in-force life insurance policy?
Has the person needing care already arranged to move into an assisted living or retirement home within the next 30 days?

Step 3: Complete the following and press the SUBMIT button

By checking this box and hitting the submit button, I agree to allow a representative to contact me on the phone and by e-mail with information about financing for long-term care. I also agree to receive periodic information via e-mail from SeniorCareFunding and its partners.
 
 
 
 
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