Aging in Place: When is the Right Time to Right Size?

Deciding whether to continue to live in the home we have lived in for decades is a difficult decision. Not only are there financial considerations to think about, but we also need to factor in health and safety issues, such as whether our home can be easily navigated as we age. If we are caring for an older loved one, we may wonder if the home they’re in right now is still right for them based on the changing needs of their health and care. As the holidays approach and family comes together, it may be the right time to have the “Right Sizing” conversation with a loved one that could open the doors to knowing if it is the right time for them to move. Below are some tips on getting started: 

• Set the Right Tone: 

  • Look for an opening. The best time would be if a loved one brings it up first and asks for help. Otherwise, we should look for an opportunity when everyone is relaxed. 
  • Listen genuinely to all of a loved one’s concerns. 
     

• Ask the Right Questions:

  • Can a loved one handle the upkeep, repairs and yardwork? Or, can they afford to pay someone to do the work?
  • Can a loved access all the areas they need to in their home, such as bedrooms, bathrooms, the kitchen, the laundry room, etc.? 
  • Can a loved one physically maintain a socially active lifestyle in their current location, such as attending church, visiting friends and family, going to the local senior center, etc.?
  • Can a loved one easily afford to pay their current mortgage payment (if any), property taxes, insurance, utility bills, etc.? 
  • What kind of help might a loved one need if they stayed in the home? Would they need assistance with housekeeping, meal preparation, personal care, shopping, money management, medication assistance, transportation, etc.?
     

• Choose the Right Loan:

  
  Whether a loved one is looking into opportunities to downsize, or staying in their current home while refinancing or making modifications, the right loan can help them make their housing goals both affordable and sustainable:
  • Single Purpose Loans: These are special loans to help homeowners with specific repairs or modifications that the program allows. These loans typically carry lower costs and can be forgiven over time.
  • Home Equity Line of Credit: This loan works similarly to a credit card. We can withdraw up to a certain amount over a defined timeframe and we then pay back principal and interest on the outstanding balance over the repayment period. This loan is best for those who want to complete smaller projects one at a time instead of tackling work on the entire home.
  • Home Equity Loan: With this loan, we can receive a set amount of money in lump sum and pay it back over a specified number of payments, with fixed monthly payments that include principal and interest. This loan is best for large projects that will be completed at one time, such as a large renovation project. We should be aware that the terms can be longer, similar to that of a mortgage when we purchase a home.
  • Reverse Mortgage: These are loans designed for homeowners age 62 and older where the lender pays the homeowner. The homeowner is still responsible for the property taxes, insurance and maintenance on the property. This is the best option for those who have equity on their home, but do not have enough resources to meet their monthly obligations. Some lenders will allow the purchase of a new home using a reverse mortgage.
     

• Get the Right Help: 

  • Nonprofit HUD Housing Counseling Agencies. Organizations like Empowering and Strengthening Ohio’s People, a subsidiary of the Benjamin Rose Institute on Aging, are available throughout the nation to offer FREE guidance and assistance to anyone wanting to explore their housing options, regardless of income or age. We can find a counseling agency in our area using this locator.
  • Real estate professionals. We can take advantage of the expertise of lenders, real estate agents, tax experts and attorneys when making a housing decision. We should be sure to do our research before hiring any professional.

When a loved one is deciding whether to stay in their current home or to move into a smaller home, a condo, an apartment or an assisted living facility, the key is to make sure that the home is the “Right Size” for them! Aging does not come with one size fits all solutions, including housing options. We should be willing to have open and honest conversations with a loved one, and other family and friends who may provide help to a loved one before making this kind of difficult choice. If we need help facilitating this conversation, we may consider reaching out to a housing counseling agency or geriatric case manager for further support.