Living in a 55-plus community: Pros, cons, and costs

As we age, maintaining a home can become more demanding. On top of that, it may feel isolating if people in a similar stage of life do not surround you. That’s why some older adults consider moving to a 55-plus community, also known as an age-restricted or active adult community.

These neighborhoods are designed for senior living, offering social events, shared amenities, and reduced daily responsibilities compared with traditional homeownership. While they come with plenty of perks, there are also some problems with over-55 communities that are worth considering. Before listing your current home for sale, take the time to weigh the pros and cons, as well as the financial factors, to determine if this lifestyle truly aligns with your needs.

What is a 55-plus community?

Fifty-five-plus communities are neighborhoods built around the needs and typical lifestyles of older adults. As the name suggests, to join one of these communities, residents must typically meet the age requirement, usually 55 or older. By restricting the age of its residents, these communities can create an environment that’s comfortable, convenient, and focused on cultivating a community of adults who are in a similar stage of life.

Here are some other features you may find in these communities:

• Smaller and accessible homes or buildings, such as condos, apartments, or townhouses, with helpful features such as wheelchair ramps
• Locations built close to shops, restaurants, and local businesses
• Shared spaces and amenities like pools, walking paths, and community centers
• On-site health services or partnerships with nearby health care providers for things like wellness checkups
• Add-on services like concierges, meal delivery, housekeeping, and transportation

Types of 55-plus communities

Fifty-five-plus communities come in all shapes and sizes. While some are geared toward older adults who love resort living, others cater to those who share a passion, such as traveling in an RV. Exploring the different options available can help you determine which community may best fit your needs.

Luxury

If you’re someone who enjoys the finer things in life, these neighborhoods typically include a wide range of resort-style amenities like golf courses, fine dining, fitness clubs, and spa treatments. Homes typically feature high-end details and extra space for comfortable, upscale living.

Golf and resort communities

Golf and resort communities are designed for golf enthusiasts and those who appreciate a laid-back, resort-style lifestyle. With this type of community, you typically enjoy top-notch golf and amenities, including restaurants, spas, and social clubs.

Lifestyle communities

Whether you enjoy gardening, RV travel, or simply want to be surrounded by people who share your beliefs and values, lifestyle communities enable residents to cultivate their passions and engage in the activities they love alongside like-minded neighbors.

Active adult communities

Active senior communities can be a solid fit for individuals who want to remain engaged and connected during their golden years. They typically include amenities like pickleball courts, pools, walking trails, and regular group activities.

Singles-only communities

Single 55-plus communities cater to unpartnered adults, allowing them to live among others with a similar lifestyle. Some of these communities may offer social activities and events, but it ultimately depends on what the neighborhood provides.

Gated communities

For some, security is a top priority when choosing a home. That’s where gated communities come in, offering increased security and fewer unexpected visitors. Many of these neighborhoods also provide the same benefits and shared amenities as other 55-plus communities.

Can you live in a 55-plus community if you’re under 55?

Yes, it’s possible, but remember that each community has its own rules, often established by restrictive covenants. While age-restricted communities are primarily intended to provide older adults with a safe, like-minded environment, some may allow younger adults to live there under certain conditions.

Age restrictions generally have some exceptions, such as when a young adult needs to live with their legal guardian. But usually, all residents must be at least 18 years old, and one member of the household must be 55 or older.

Average cost of a 55-plus community

The average cost for a 55-plus community ranges from $1,500 to $4,000 per month, according to AssistedLiving.org. But keep in mind that the exact cost can vary significantly depending on location and the type of community. You'll also need to consider HOA dues and move-in fees, which can add to your total expenses.

Buying a retirement home in a 55-plus community may offer a budget-friendly living alternative if you want to downsize or simply reduce your housing costs. With built-in perks such as shared amenities and minimal maintenance requirements, living in one of these communities may help you derive greater value and fulfillment from your living situation.

As with any major decision, it's best to understand all the costs of living up front and make a well-informed choice.

What are the pros of 55-plus communities? 

Age-restricted communities can offer older adults a wide range of unique benefits that aren’t always available elsewhere. Here are some of the most common ones you’ll find.

Diverse location options

You can find 55-plus communities across the United States. This means you have plenty of options to choose from. For those who prefer to live in warmer climates, consider destinations like Florida or Arizona. You also can stay near the people and places that are familiar and already feel like home.

Enhanced safety and security

For security-conscious homeowners, these communities can check off a lot of boxes. They are often gated, have strict visitor rules, and may include on-site security. You’ll also typically find updated safety features, such as smoke detectors, throughout the property.

Convenient amenities and activities

As a resident of a 55-plus community, you’ll have opportunities to stay active and engaged. These communities often include on-site amenities and activities for both recreation and socializing, like clubhouses with games and entertainment, fitness centers, holiday gatherings, pools, tennis courts, and golf courses.

Some communities may even offer transportation to nearby shops, restaurants, and other local spots.

Minimal maintenance 

Owning a home comes with a lot of responsibility and maintenance costs, which can be more taxing as people age. One of the big benefits of these communities is that the HOA usually takes care of common areas, saving you time, effort, and money.

However, depending on the community, residents may be responsible for some landscaping and the interior upkeep of their home. Even so, it often requires less maintenance than a larger, traditional home.

Sense of community

From social events to everyday chats, these communities make it easy to feel connected, supported, and enjoy a real sense of belonging. You get to live around people close to your age and enjoy your retirement in a safe, peaceful environment. These communities are usually quieter than neighborhoods with young families and kids.

What are the cons of 55-plus communities? 

Here are some drawbacks to over-55 communities worth considering.

Potential extra costs

Make sure you consider the full cost of living in a 55-plus community. Many of these communities have HOA fees that cover shared expenses and amenities, such as landscaping, home repairs, property maintenance, and capital improvements. Additionally, you may incur extra fees, such as club memberships or amenity charges. While costs vary by community, HOA fees can exceed $800 per month.

With that in mind, it’s important to factor the HOA monthly expense into your overall housing budget. And remember, HOA fees can increase, so if you’re on a fixed income, make sure you’ll be able to afford any increases.

Strict rules and regulations

To maintain the comfort and cohesion these communities offer, they usually have strict rules. Breaking those rules can result in fines or worse, depending on the severity of the situation. While the specific rules vary by community, they can limit your flexibility.

Some common restrictions include visitor guidelines, pet policies, noise ordinances, and rules about the appearance of your property.

With numerous regulations in place, this can be a deterrent for some potential buyers. This is something you'll want to keep in mind if you ever plan to resell your property.

No on-site medical care

Independent communities for older adults usually don’t provide on-site medical care, so residents would need to rely on and pay for third-party providers. This means it’s up to you to schedule and get to and from doctor’s appointments on your own.

However, some communities may partner with local health care providers or have agreements with fee-based services to offer services such as wellness checks. If you require more hands-on medical care, consider assisted living communities that provide on-site medical support.

Smaller properties

Because many community properties are intended for just one or two people, like an apartment or a condo, residents may have less square footage than they’re used to. So, if you’re downsizing from a single-family home, you’ll need to think about where to store or part with extra belongings.

Limited age diversity

Most age-restricted communities must adhere to fair housing laws, which typically require that at least 80% of homes in a 55-plus community have at least one resident who is 55 or older. Some places may even set the age requirement higher. As a result, living in a 55-plus community often means being surrounded by people in a similar age group, which can limit age diversity compared to a traditional neighborhood. So, if you enjoy being around neighbors of all ages, this type of community may not be the best fit for you.

Should you move to a 55-plus community?

Whether a 55-plus community is a good fit for you ultimately depends on your budget and the kind of lifestyle you're looking for. Taking the time to carefully weigh the pros and cons, considering your personal needs and housing goals, can help you determine if this type of living situation is a good fit.

Let's say you're someone who thrives in the company of others in a similar phase of life and loves organized activities or a strong sense of community. In this case, one of these communities could be just what you're looking for.

That said, some 55-plus communities come with strict rules, such as limits on home décor and the number of pets allowed. So, if freedom and flexibility are top priorities for you, that's something to consider.

If you're looking for more age diversity, fewer restrictions, larger homes, or on-site medical care, you might want to explore other housing options.

FAQ

Wondering if 55-plus community living is right for you? We've got the answers you’re looking for.

What are the restrictions of a 55-plus community?

The rules in a 55-plus community vary depending on where you live. Some communities have quiet hours, limits on the number of pets you can have (and the types allowed), and rules about who can visit and when. There may also be strict guidelines for the appearance of your home, specifying which changes you can or can’t make. Before you move in, it’s a good idea to read through all the community guidelines so you know exactly what to expect.

Can grandchildren visit a 55-plus community?

Yes, but there are usually some limitations. Because each community sets its own visitor guidelines, some are stricter about visitor policies – especially when it comes to kids. For example, they may have limits on how long children can stay, where they’re allowed to go, or what times they can visit. Remember that while you are usually allowed to have your grandchildren visit, they typically can't live with you since most communities have age restrictions.

What are the downsides of a 55-plus community?

Some common problems with over-55 communities include steep HOA fees, strict rules and regulations, limited square footage, and a lack of on-site medical care, such as that found in assisted living facilities. These neighborhoods are geared toward independent older adults. That said, if your health needs change, you may need to relocate to a place that offers additional medical services. It’s important to weigh these factors and consider your long-term needs before moving.

Can you rent out your home in a 55-plus community?

It depends on each community’s guidelines and rental restrictions. Since each 55-plus community writes its own playbook, some may allow owners to rent, but it can come with limitations or restrictions such as age stipulations (like being 55 years or older), rental timeframes, and HOA approval beforehand. So, if you're considering renting out your unit, make sure you touch base with your community and get approval before marketing your property.

Is it hard to sell a home in a 55-plus community?

Selling our home in a 55-plus community can present some obstacles, as it's a unique type of property that restricts who can live there. Because buyers are usually required to be at least 55 years old, it limits the pool of people who can purchase your property. Therefore, you'll need to market to recent retirees and older adults. Additionally, factors such as market trends, the home's condition, and the community's rules all play a role in determining how easily you can sell in a 55-plus neighborhood.

The bottom line: Moving to a 55-plus community requires careful thought

Buying a home in a 55-plus community comes with plenty of upsides, like low-maintenance living and built-in social opportunities with people who share your same interests. However, keep in mind that this type of community living isn't for everyone. These neighborhoods often have strict rules that all residents must follow, which can limit your flexibility and the lifestyle you're looking for.

Whether you're considering downsizing or just beginning to explore your options, Rocket Mortgage^® can help you take the next step. Get started today to see what’s possible for your next chapter.