Life Plan vs. Rental Senior Living Communities: What’s Right for You?

Oct 5, 2021 | Senior Living Resources | 0 comments

When it’s time for you or a loved one to choose a senior living community, one of the first decisions you’ll need to make is what type of community will best suit your needs: a Life Plan or rental community.

“There are different benefits to Life Plan Communities vs. rental senior living communities,” Marie Dunn, Director of Sales and Marketing at WhiteStone, a Masonic and Eastern Star retirement community in Greensboro, NC. “The right answer depends on what services and amenities you’re looking for, what care services you require, your risk tolerance and your own personal attitude.”

Here, we’ll explain the different benefits of these two senior living options and what choice might make sense for your situation.

What is a Life Plan Community?

A Life Plan Community, also known as a Continuing Care Retirement Community, is a community that offers a full continuum of care for life. In this type of community, individuals pay an entrance fee that serves as a “down payment” for any future care needs you might have, whether that’s assisted living, memory care or short- and long-term skilled nursing. The entrance fee ensures that residents receive priority access for health care services, providing peace of mind for now and in the future.

What is a rental community?

In a rental community, residents have a pay-as-you-go type of lifestyle. There isn’t a large entrance fee; instead, individuals pay by the month, usually with costs that change depending on the market rate of care services and what levels of care an individual requires.

Rental communities can offer a full continuum of care, which allows individuals to remain at the community for life as long as they have the financial resources. This provides peace of mind while also ensuring flexibility for the individual in the future.

Which is the better option for me?

The choice of whether a rental retirement community or a Life Plan Community will be right depends on your own personal situation, your risk tolerance and what you’re looking for out of your retirement years.

A Life Plan Community does require a large entrance fee up front, but that fee is a down payment to your future, and you receive discounts on future care. There are many tax benefits to choosing this type of community. Often, a good part of the entrance fee can go back to your estate if you choose to leave the community or pass away.

A rental retirement community provides incredible flexibility, allowing you to choose a lifestyle that works for you now with the ability to move easily in the future. In this situation, you may find yourself looking for additional care, as you may not have priority placement and you may be paying the daily market rates for care, which can add up quickly.

As you can see, there are both benefits and negatives to both types of senior living lifestyles. Take some time to review your various options in order to see which choice is the right one for you or your loved one.

Founded on Fellowship. Inspired by You.

WhiteStone is the first and oldest Life Plan Community in North Carolina. Founded in 1912 as the first Masonic Fraternal Home in the U.S. created solely to care for the elderly, WhiteStone is open to everyone looking for a secure retirement in a comfortable, welcoming setting.

WhiteStone offers residents a host of amenities and services designed to make life easier, healthier and happier. In addition to independent living, WhiteStone offers a full range of senior health services, if and when the need arises, including memory care, in-home care, short- and long-term skilled nursing and rehabilitation. Assisted living services are coming soon to the community.

Since WhiteStone is a Life Plan Community, residents will never need to move in order to get the health care they need. At WhiteStone, we provide expert, personalized care on campus in our top-rated Care and Wellness Center.

For more information about our community, please contact Marie Dunn at 336-265-6047.



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