When it comes to choosing the best senior living community for yourself or a loved one, there are a lot of options to consider. It’s important to pick a community that is convenient, flexible, and adaptable to changing needs. Equally important is choosing a community that best fits your family's financial planning. This article breaks down the payment structures of monthly rentals and CCRCs to see how they compare.

Understanding these differences is crucial for making an informed decision. "There is a vast difference between a month-to-month rental and a CCRC, with decisions varying based on each individual's financial, situational and health care needs," explains Amber, director of sales and marketing at Miramont Pointe, a senior living community located in Clackamas, OR.

CCRCs

CCRC stands for Continuing Care Retirement Communities. These senior living communities provide a full spectrum of care, from independent living to assisted care to 24/7 nursing services—all within the same community. This ensures that as residents' needs evolve, they can continue to call the same place home.

"Essentially, residents are guaranteed they will never have to make another move again," notes Amber. "And if they do need to move, it would be under one roof."

Most CCRCs ask residents to pay an upfront ‘entry fee’ to guarantee lifetime access to living and care services. "Some individuals exploring the CCRC model do not typically understand the depth of information needed prior to moving in," Amber explains. That entry fee can be quite substantial, and it may be a hardship in some circumstances. In addition, the resident will pay a monthly fee, or set of fees, based on the level and types of care and services they need.

Month-to-Month Rentals

Like a CCRC, monthly rentals can offer a full range of living and assistance options. However, they do not require an initial entry fee. "For a month-to-month rental there is no lump sum needed for a 'buy-in' which can be an appealing model to those who do not wish to tie up their assets," explains Amber. Instead, fees are based on a monthly rental structure that varies based on the needs of the resident. In addition, residents may easily move to another senior living or health care community if they choose. CCRC’s, on the other hand, have a much more complex moving-out process.

There are usually three ways the monthly fee is calculated for monthly rentals. They are:

• Fee per service. The resident is charged for each care service they receive. Sometimes called an "à la carte" structure.
• Modified. Similar to the fee-per-service model, but usually with a discount applied or a number of days at no charge before new charges become effective.
• Lifecare. This structure charges a fee that stays consistent throughout the resident’s stay

Advantages of the Monthly Rental Structure

It’s important when considering a senior living community to fully understand their pricing structures. You’ll want to make an informed decision that will work for you and your family in the long run. "With a month-to-month community it provides the peace of mind for support as needed when needed, but does not lock you into a long-term commitment," says Amber. 

Many families find the monthly rental structure the easiest and most convenient for their needs. It eliminates a hefty upfront fee while being readily adjustable to the changing needs of the resident.

Both month-to-month rentals and Continuing Care Retirement Communities (CCRCs) offer valuable benefits, depending on your priorities and needs. CCRCs provide peace of mind with a seamless continuum of care, ensuring residents can stay in one community as their needs change over time. 

Meanwhile, monthly rentals offer exceptional flexibility, with no upfront entry fee and the ability to adapt quickly to changing preferences or circumstances. This makes them an attractive choice for families seeking convenience and tailored care options. By understanding the strengths of each option, you can confidently choose the senior living community that best fits your lifestyle and financial planning goals.