Is Apartment Living in Your Retirement Plan?
Category: Active adult communities
March 21, 2022 – A while back we heard from one of our Members, Debby, who asked about apartment living. She wondered why we don’t ever write anything for people who want to retire in an apartment. She has always lived in that type of housing, and being a single senior, doesn’t want a house now either.
In particular she would love “a senior community of apartments that is gated and has washer/dryers in the apartment, plus an attached garage. She is not particularly interested in other amenities that she won’t ever use. She lives in Scottsdale, AZ now, but apartment prices have gone up so much!”
Not alone
We are sure that Debby is not alone in seeking apartment life. Although we assume she is interested in rentals, many other apartments are owned as condos. The good news is that there are many communities that provide apartments suitable for baby boomers. Using Advanced Search for Communities at Topretirements, we came up with almost 1,000 apartment communities across the U.S. in our database. That list can be made more selective by choosing parameters like expense (if we delete higher cost the list goes down to 775). Other amenities might include covered garages, swimming pools, fitness centers etc. Using a state parameter narrows it even further; e.g., choosing only Arizona results in a list of 43 (we will explore some of those choices later in this article).
Advantages and disadvantages
Apartment living has plenty of good things about it, with of course some drawbacks too.
Here are some of the advantages:
No maintenance. Got a problem – in most cases, just call the landlord or condo association!
Lower cost. Normally the size of the home is smaller so it is cheaper to heat, cool, and maintain.
Lower or no taxes. If you rent your landlord pays the taxes, and if it is a condo your taxes are are usually less than for a single family home.
Lock and leave. If you want to travel for a while, your apartment will still be there when you return.
Amenities: Many apartment complexes offer an array of amenities – pools, gyms, firepits, lounges,tennis ball courts etc. As a renter you can enjoy these for a fraction of what it would cost you to build your own.
Move if you don’t like it. For many this could be the best advantage. Noisy neighbors, bad location, don’t like the landlord – just move when the lease comes up!
On the disadvantage side:
No equity if you rent. This might be a problem for a young person, but could be a blessing for seniors who are not saving for the future.
Noise and neighbors. Apartments are close to one another so noise travels, or the neighbors you don’t like seem to be everywhere.
Smaller spaces. You might miss the mud room, ample storage, a big garage, and room for visitors.
Limited outdoor spaces. You might have a balcony or terrace, but any yard will be shared with others.
Rules. If you live in an apartment you have to live by the rules of the community.
Looking at some Arizona Rental Communities
As an example of what might be out there for apartments, we took a look at what we have in our database for one state, Arizona. Our Advanced Search found 43 apartment communities in a variety of Arizona towns and cities (they tend to be in larger communities). Those included Chandler, Gilbert, Mesa, Phoenix, Scottsdale, Sun City, and Tucson. We found that many of these rental apartments are in CCRC or Life Care Communities, so they will be expensive. Others are in luxury developments, and many times those tend to be condos rather than rentals. Many look extremely interesting – they might be out of Debbie’s budget, but folks with more resources might find them very attractive. Here are a few of the interesting choices we found:
The Park at Copper Creek – Chandler. This luxury community for independent living was the first one on the alphabetical list. The pet-friendly community features studio, one or two-bedroom apartment with open floor plans. Residents enjoy individualized health and wellness plans, a business center, concierge, game room, billiards, a fitness center, and movie theater.
LivGenerationsUtopia – Gilbert. Another luxury community, this one is very unusual. It is part of Agritopia, a master-planned development built around an urban farm. There are independent living apartments with multiple activity centers. Amenities include restaurant-style dining, day spa services, a fitness and wellness center, bistro and movie theater. Assisted Living, Memory Care, and Respite care are available.
Mesa Royal Apartments – Mesa. This apartment complex in Mesa bills itself as being lower cost. Although it is hard to find prices online, one source showed apartments starting at $1075 a month. Choose from studios and 1-, 2- and 3-bedroom rental apartments in this active, senior living community with pool, fitness center, and putting green.
The Fountains at Sun City – Sun City. This is more of a budget option out in Sun City. Amenities include a recreational center, swimming pool, hot tub, picnic area with barbeque, fitness center, and landscaping. One and two bedroom rental apartments. We found online listings for apartments starting at $1,550/month.
Mercado District – Tempe. This is a new traditional neighborhood development located west of downtown Tucson, and close to the cultural and museum center. The community consists of tree-lined streets, plazas, walking paths, and open spaces along with an open air market place with shops and restaurants. The development has apartments and single family homes starting at $500,000.
Bottom line
There are plenty of apartments available for baby boomers who want that lifestyle. Sorting through the choices can be a lot of work to find the type you are looking for – rental or condo, price range, amenities, etc. One of the best ways to start is to narrow down the search geographically. If you know what state or town you want to live in, you can explore those choices more thoroughly. You can use Advanced Search on this site, or simply use a search engine – e.g.: “rental apartments in Tempe, AZ” – to identify possibilities.
Comments? Are you hoping to retire in an apartment, or are you already living in one? Please share your thoughts and experiences in the Comments section below.
Comments on "Is Apartment Living in Your Retirement Plan?"
ljtucson says:
Thank you. I'm very interested in apartment urban dwelling in the future. Car free and care free, downtown walkability, etc. That is my goal for my mid 80's. For now, I enjoy my house and all the amenities of golf and super active lifestyle.
Everette says:
Thank you, the timing for your article is perfect for us.
My wife and I are looking to downsize to a one-level apartment condo with lots of amenities and garage parking that is safe and close to groceries and medical offices.
Such a place would be wonderful for aging in place.
Those in 55+ communities tend to have more activities, but non 55+ communities are fine, too
Our biggest concerns would be noisy neighbors and constantly barking dogs when the owners are at work.
We are also considering CCRC’s, but CCRC’s typically have much older residents so they may not be a good fit right now for us.
Margaret says:
You are reading my mind! Thank you for this week's article. That is the path I am taking right now as I plan ahead in my retirement years. And to top it off, you picked my state as your example! Thank you for this very timely and worthwhile advice.
sue swanson says:
I am now in the process of looking for a 55+ community and have a word or advice for anyone else who will be looking in the near future. The waiting list's are from one to two years in all of the places I've contacted. Only a few have replied to me so I believe that the wait list's are so long for the others they have closed the list for now. I've had to pay fees to some of them to even get on their lists, That can be a hard decision to make for a sight unseen unit. My preferred location is on the Florida gulf coast but have also looked in other parts of the state and will be moving in four months, probably not into a 55+ community, yet.
MarkP says:
We are considering an apartment in a CCRC as we retire. My wife was a resident in a CCRC while she was a full-time caregiver of an uncle. The points made about the neighbors are on the mark. It is very similar to hotel living. Older neighbors play TVs and stereos at louder volumes and have different waking hours. We could hear exercise videos and cell phone conversations at night. Considering who your neighbors are or who they claim to be or were are huge. It seems all the problems came from lawyers, retired generals, colonels, or judges. Try to meet your neighbors, hearing aids a big clue. Another option is asking to a top floor. Some places charge a premium for a top floor or end unit. Another point about apartments are the appliances. Some locations only have room for stackable washer/dryer and smaller refrigerators. CCRCs expects that you'll eat in their dining rooms. Ask is their is covered garages or if small storage lockers are allowed in the garage. Also ask if there is an external storage space for luggage, holiday decorations, and seasonal clothing. Some apartment complexes do not allow guns, so if skeet/trap shooting or hunting is your hobby you may be out of luck. Also ask about who will have access to your apartment when you may be on an extended holiday. We are in our early 70s and have learned that 3 to 5 year wait lists are not uncommon as older residents are living longer and are not opting to graduate to assisted or skilled nursing. Ask about how the wait lists work. With inflation, check how increases to utilities are rent are calculated. We've learned that a 3-5% increase is not unusual. Top floors also have fewer problems with clogged sinks. Think about how you'll get your groceries to your place. I'm a bicyclist, where I can ride is huge for me. Where I store my bike is a consideration, this parallels in concept where you can store a golf cart or clubs. Covid lock downs have given us a new appreciation for businesses who shop for groceries and provide carry out services. That's a good suggestion for another article.
Beth Mastin says:
Mark p. Gave many examples I wouldn’t have known. Very helpful. Thanks Mark.
Areti11 says:
My husband and I decided to rent after looking for a home to buy. We finally decided to downsize and move to a 55+ resort apt community in SanDiego. We were accepted immediately and rent started at $1495. That includes a storage unit,gas,many activities including a gym and free food every month. Maintenance is done within 24 hours with a smile. The apt is small but because it is next door to all the shopping you need and in the center of town we have adjusted well. Were even thinking of selling our car too!!
LS says:
Reading through the lists of advantages and disadvantages for apartments, I think many of these will also apply to condos. There are, of course, some significant differences. If you will be downsizing and selling a more expensive single family house, you could purchase a condo for cash and not have a large monthly rent payment but you will have, in most cases, a much smaller condo fee. There is also the chance of an assessment if the condo fees are insufficient to cover needed repairs.
A couple of disadvantages of condo living include no or very little appreciation in the value of the condo and, if permitted by the condo association or the city, condo units being used as vacation rentals. If short-term vacation rentals are not permitted, your neighbors will be more permanent than those in apartments and allow you to develop more lasting friendships.
Nancy says:
I would like to see info on tiny house villages. Especially 55+. I think many singles would like one to call their own, without all the maintenance of a home and yard. And single seniors also. I am thinking this will be the new wave of the future in housing.
John Brady says:
Tiny houses are another very interesting alternative Nancy. We wrote this piece a few years ago and it attracted a lot of comments with some great links too. https://www.topretirements.com/blog/real-estate/are-you-ready-to-join-the-tiny-house-movement-in-retirement.html/
And another idea is retiring in a "Pocket Neighborhood" https://www.topretirements.com/blog/real-estate/why-not-retire-in-a-pocket-neighborhood.html/
Christine Salatino says:
We would also like info on 55+ communities with smaller homes, perhaps 1000 sf, not necessarily a "tiny" home. The pocket neighborhood idea is great, but they are difficult to find.
Grace
Moderator Flo says:
Hi Christine
If you go to the Search page and scrolldown to Search Communities by Amenities, you can select different home styles under Type of Community and can choose homes such as Bungalows, Carriage Homes, Coach Homes, Cottages, Duplexes, and Villas, which may be smaller in size. I also saw Pocket Neighborhood in this same category which may help and you can also check by the number of units.
Hope this helps
Flo
Jem says:
I like the idea of apartment homes rather than apartment buildings, but I don't think there are too many rental communities that offer free-standing homes. I wouldn't necessarily limit my search to 55+, I would enjoy an all ages community I think. But I would like to hear from others who live in a rental community and address the advantages and disadvantages as mentioned this blog article. The noise issue is a concern and so is a lack of outdoor space. There is more research to be done than what I had anticipated!
Jean says:
Apartments would be a good option for those who don't want the hassles of owning a house or condo. A few of things to consider when looking at them: For couples, is there space for some "alone time" for when you just dont want to watch the same show? If there was another "shut down" would you want to spend a few weeks (or more?) in it? Are there views from the windows? Are there pleasant places to walk in the immediate area? Are there assigned parking spots? Be fussy when looking.
Jan Cullinane says:
This is for Jem. I address houses built solely for rental in my new book, The New Retirement: The Ultimate Guide to the Rest of Your Life, 3rd edition (Wiley, 2022). Quoting from my book:
“Rents like an Apartment. Lives like a Home” is the catchy tagline of NexMetro, with communities in Arizona, Texas, Colorado, and Florida. Another major player is Christopher Todd Communities in Arizona and Texas."
I visited the single-family community Coastal Run at Heritage Shores, a 55+ development within the larger all-ages Heritage Shores community in Bridgeville, Delaware (note – only an hour’s drive to the ocean). The master-planned community of Heritage Shores offers one-to-three-year rentals managed by Allen & Rocks, Inc. Hope that helps...
Jem says:
Jan,
Thanks you for the leads and nice to know communities of rental homes, (rather than apartments) do exist. I will look into those you have mentioned. Appreciate your input.
BillyBogey says:
Like the thought of Apartment living. Just close the Door has appeal. K. I. S. S. is somewhat ingrained as a guy. The Princess not so much!! We've got to find some middle ground!! Hope!!