by Stacy Canan, Consumer Financial Protection Bureau
July 26, 2017
We often hear that older Americans want to “age in place.” Aging in place means living at home in the community, rather than in an institutional setting, like a nursing facility. This is the choice most people want to make even if they need services and support to do so.
With over ten thousand people turning age 62 every day, and with a majority of them homeowners, a growing number of businesses are increasingly using the phrase aging in place to market financial products and services to homeowners in the baby boom generation. Many reverse mortgage lenders, for example, advertise that a reverse mortgage loan will enable you to continue living in your current home so you can age in place.
Many of these businesses and lenders, however, are incorrectly implying that staying in your current home is the only option for aging in place.
Although the promise of staying put is attractive to many, remaining in your current home may not be a good plan for everyone. For example, your home may have many stairs, be expensive to heat and cool or repair, require costly taxes and insurance payments, have limited or no public transportation nearby, or be far from family, friends, and community activities.