One of the newest trends in senior living in the past few years has been the explosion of senior cooperative housing developments over the United States. Senior cooperative housing is less restrictive environment than a nursing home or long term care facility, but not as much upkeep and maintenance as owning a traditional home. This combination makes senior cooperative housing a very popular trend among those entering their senior years.
The Basics of Senior Cooperative Housing
Senior cooperative housing is part land ownership and part like owning a business. The housing community is classified as a corporation and the residents buy stock in the residence and become shareholders, just like a traditional business. Stock is usually divvied out to the stockholders in square footage, based on the size of their living unit.
Becoming an Owner in Senior Cooperative Housing
Generally stockholders are required to pay two fees when buying into the senior cooperative housing. The first fee is a one-time share cost down payment fee that is usually ¼ to ½ of the unit’s full value. With prices ranging from 100,000 to 300,000 or more this fee generally runs at the minimum around $25,000.
The monthly fee is than an amount that is required each and every month and this is equal to a monthly mortgage or rent payment. If the owner ever decides to sell their home or apartment, the co-op will have the first chance to purchase the residence or they may choose to sell the home to an outside party.
Difference Between Senior Cooperative Housing and Senior Condominiums
Senior Cooperative Housing units are usually run by a board of directors that is elected by all of the stockholders within the co-op. Because all residents in the senior co-op are owners and do not rent their housing unit, each individual gets one equal vote in deciding the Board of Directors.
The Board of Directors main job is to handle and find the best prices on the fees for various bills that are included in the monthly fee. Usually senior co-op stockholders will pay one fee that covers their taxes, insurance, cable, phone, internet and whatever other extras that they may want.
Besides the basics, most communities are built as a full encompassing neighborhood community that supplies stockholders with everything they need outside of groceries. Fitness centers, community kitchen, laundry facilities, party rooms, security, gardens and swimming areas are just some of the most common things found in these senior communities.
Residents often get special discounts to local restaurants and other businesses that cater to the senior co-ops as they provide many business opportunities to local businesses.
Benefits of Senior Cooperative Housing
Senior cooperative housing units also provide all of the daily maintenance and grounds keeping that starts to become difficult for seniors. Also, many seniors like the ability to live in a community with others their own age, without having to have the feel of a nursing home or long-term care facility.
Overall the growth of senior cooperative housing has shown a huge increase over the past few years. Residents like the ability to have the feel and comforts of their own home, while having the safety and security of other seniors around them.