Anyone ever heard of an assisted living "move in" fee?

I'm just wondering if there is any other way corporations can find to gouge old folks. I would never pay it for myself. Cleaning up and painting when a resident moves out is all part of apartment maintenance. It often seems like places are trying to drain the estates of people before they die. It's a sad way the world is going, but no one seems to be interested in stopping it.

My mother has been in two different AL's, one in 2011 and the current one she lives in now since 2013. Both had a $2,000, non-refundable move-in fee.

Basically, it's an expensive way to pay for carpet cleaning and some painting from what the last resident did during their time there. It's a racket that's pretty much unavoidable.

We had a $4000 move in fee --- standard in my area. We used 3 different facilities and it was all the same.

Mom's memory care had a $6,500 move-in fee and since she was in the new expansion she was the first occupant in the room

It has been one year since she moved in and the place is full so they can pretty much charge what they like and her monthly rate just increased by $450 for a shared room

Yes, in the 2 AL facilities that I have recently toured, there is a 2,000 fee, which was explained to me that is used in the documents set up, getting in touch with his Drs, Pharmacies, and other health organizations, setting them into place, so that they can be in direct contact with them should the needs arise, in addition to his Advance Directive, his banking, and the medical evaluation which is also done by the in house Dr. Plus any personel information, and whom to notify in case they need to and that it takes time and effort by the facility Director, the DON, and administrative staff to compile these documents, plus the usual damage and cleaning deposits and such, and I'm sure there are many other things involved getting him established as well, but Yes, it's pricey. I guess it is all part of building a file on the patient, but is standard from what I've gathered.

Looking at it from a landlord's perspective: If I have a college kid move in, I charge an extra month's rent as a security deposit, and chances are, I will have to use that money to clean up and repair something from beer and ignorance of how to take care of things. I make sure to get damage$ before move in. because the kid may not move out until moving out of state. I have no way of tracking him down to get him to pay damages, and I would no longer be making my minimum rate of return on the apt investment - why would I stay in real estate if I can't make my 5% return on investment?

For old people, the reasoning would be pretty close to the same, except the damages are going to be worse. Urine has a much stronger holding power than beer, and usually is applied over a larger area - not just the living room. If urine soaks through the carpet padding (usually not the case with beer since that is just one cup full), it gets into the plywood subfloor and reeks! That is a much more expensive clean up.

And how about the extermination that is required? Kids get roaches, which are pretty straightforward to get to an acceptable level; old folks don't mean to, but they bring in book lice, scabies, and other creepy crawlies from their special items from home that have not been moved in years.

Finally, our elderly resident that caused the damages is not just out of state, but gone! I could submit that bill to probate, but if the estate has no money left - common in the world of trying to get Medicaid to pay for everything - then I'm left paying for damages out of my pocket. Again, why would I invest in an elderly residence if I'm not making a minium rate of return?

If you want to have more homes available/ shorter waiting lists, people have to be willing to reward the investors who build them by paying for the service. They don't spring out of the ground fully formed - someone has to pay to build and maintain the building.

My mom didn't have a move in fee when she moved into her AL. The families do the moving, unpacking , setting up the room. When she got moved up to NH floor I moved her things. Furniture was donated and was picked up.

Yep, common in my area!

There needs to be more new Assisted Living complexes to be built to make it more competitive.   Right now there are waiting lists a year long.

When my Dad moved into Independent Living, he was looking the last week in December.   The place had an apartment that would be ready in two week if he could wait.   Dad wasn't sure.   Then the complex gave him a discount on his rent plus one month free.   Dad smiles and said "yes'.   I guess no one on the waiting list wanted to move in January :)

The cost to build a new Assisted Living or even a Nursing Home comes to multi-millions of dollars depending on size.   Before the building is even built, land has to be bought or rented, zoning has to be approved and those meetings can takes months on end.   Architects designing and re-designing is costly.   Then one has deal with planning/transportation to see what would be the traffic impact.   Those are extra costs that the general public does see.

My office is in the middle of helping investors who want to partner with a company that will build a nursing home, and the birth of the idea was over a year ago.   We are still dealing with the County who have been extremely helpful.   Everything has to tie together, and that in itself is very complex.

Cost of building, the sub-contractors from every aspect, plus cranes to come in to lift the beams, the list goes on and on.   Winter weather can stall a project.   Heavy rains can stall a project.   Worker strikes can stall a project.   It could take a year just to complete a structure before the first paying client comes through the doors.

Once the building is up and running, there is the cost of 3 shifts of nurses... aides.... Med techs.... cleaning crews.... maintenance crew... linen service.... kitchen staff & waitstaff for the dining rooms.... landscape maintenance that not only takes care of the grounds and parking lots but do snow plowing.   Cost of huge electric generators in case the power goes out.

The cost of Admin staff.... front desk service.... "cruise director".... medical insurance for the employees.... cost of phone service... cable service.   Imagine what the real estate property tax would be on that building.   Imagine what the liability insurance would cost.   Heavens, imagine what the electric bill and water bill would be !!

Now one can get an idea why Independent and Assisted Living is expensive.   I found it a lot cheaper than having my Dad remain in his home and have 3 shifts of caregivers from a private licensed Agency.  

The money I saved for a fun-filled retirement is now being earmarked for future continuing care for myself.   The was all an eye opener.