Benefits of Co-Op Housing for Seniors

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  • Co-op housing for seniors may be a great option for older adults who want to remain independent. Find out more about senior co-op housing and what's involved.
Woman walks in a garden with assistance from caregiver

For seniors who wish to remain independent but without the maintenance and upkeep required for typical homeownership, co-op housing offers an excellent alternative. Find out more about co-op housing for seniors and what benefits this living option can provide. 

What Is Co-Op Housing for Seniors?

Also called a senior living cooperative, co-op housing for seniors is a great living option available to adults age 55 or older. This type of living situation offers a degree of independence and social interaction opportunities without the expenses, maintenance or chores associated with usual homeownership.

In this type of living situation, residents in the senior co-op usually purchase a share of the community and have input on how the community operates.

A Variation on Senior Independent Living

Co-op housing for seniors may be an apartment building or a private housing development. In this type of arrangement, all the residents of the senior co-op own the community together through individual shares, which means they all benefit financially and socially.

Members of senior co-ops are responsible for paying dues — usually once a month. These dues may go towards paying for expenses such as landscaping, property maintenance (raking, snowplowing, mowing) and even nursing care in some cases.

Benefits of Co-Op Housing for Seniors

One of the biggest benefits to living in senior cooperative housing is the social aspect. Community spaces such as activity rooms, parks and gardens make it easier for seniors to connect with one another.

Senior co-op housing also usually provides transportation to nearby local businesses, such as restaurants, shopping areas and entertainment venues. 

Also, because membership to co-op housing for seniors is exclusively granted those age 55 and over, there's no possibility of young families or college students moving into the unit next door — senior co-ops are senior-only communities.

Financial Benefits

Since ownership is shared among all the seniors in the community, everyone who lives there enjoys the same benefits as a traditional homeowner. This means seniors can claim tax deductions for taxes and mortgage interest, even though ownership is through shares and not through ownership of the physical property.

While individual senior co-op housing rules differ, in general, the value of each member's shares appreciates annually at a rate decided upon by the members of the co-op.

And if a resident ever decides to move and sell their portion of shares, they get back whatever they originally paid for them plus the value of appreciation.

Costs of Co-Op Housing for Seniors

Senior cooperative housing costs vary widely depending on the state you live in. Some co-ops charge higher monthly dues but lower prices for purchasing shares while others may do the opposite — lower monthly dues but higher share prices.

Check with an individual senior co-op housing community in your area to find out specific information on prices.