Quick Answer

Often, yes. But "afford to stay" is really three questions, not one. Can you keep up with your everyday monthly costs? Can you pay for any changes your home needs? And could you handle the cost of care, if you came to need it?

The first two usually have clearer answers than people expect. The third, the cost of long-term care, is the one that keeps people up at night. This article gives you a calm way to look at all three, and the figures to look at them with. The decision to stay, or to move, remains yours.

Why This Matters

Money is the worry that sits underneath the others. You can love your home, feel safe in it, and still lie awake wondering whether your savings will last as long as you do.

The biggest fear has a name: the cost of care you didn't plan for. Someone turning 65 today has almost a 70 percent chance of needing some type of long-term care (Administration for Community Living).

The reassuring half of that statistic matters just as much. About one-third of 65-year-olds may never need it at all, and most who do need it for a manageable period, around 3.7 years on average for women and 2.2 for men (ACL). Only a minority face the long, expensive stays the fear is built around.

So the goal here isn't a worst case. It's to size the real costs, see where the money would come from, and plan calmly now rather than under pressure later.

Where Do I Begin?

Begin with three questions, in order. The first two are arithmetic. The third is planning.

  1. Can I keep up with my monthly costs?

  2. Can I fund the changes my home needs?

  3. What happens if I need care?

1. Can I Keep Up With My Monthly Costs?

Add up what your home costs each month: mortgage if you still have one, property taxes, insurance, utilities, and a realistic line for upkeep. Set that against your reliable income from Social Security, any pension, and what you can safely draw from savings.

The question isn't only whether the numbers work today. It's whether they work as income stays flat and costs keep rising, especially taxes, insurance, and repairs. If there's a gap, name it now. A gap you can see is a gap you can plan around.

2. Can I Fund the Changes My Home Needs?

Most safety fixes are modest. Better lighting, grab bars, and removing trip hazards often cost a few hundred dollars. Larger structural work costs more and deserves a real estimate from a qualified remodeler before you decide.

You don't have to pay for all of it yourself. State and local home modification programs, and nonprofits like Rebuilding Together, help homeowners with the cost, sometimes at no charge. Your local Area Agency on Aging, reachable through the Eldercare Locator at 1-800-677-1116, can point you to what's near you.

3. What Happens If I Need Care?

This is the one that matters most. It's the largest and least predictable cost, and most people misunderstand who pays for it.

Two different costs hide inside this question.

Ordinary medical care. Premiums, copays, dental, and prescriptions add up even with Medicare. Fidelity estimates a single 65-year-old retiring in 2026 will spend about $185,500 on health care across retirement, and that figure excludes long-term care entirely (Fidelity, 2026).

Long-term care. This means ongoing help with daily living, and it's the larger unknown. Here are the national medians for 2025 (CareScout/Genworth). Costs vary widely by location and by how much help you need.

  • In-home care: about $35 an hour, roughly $80,000 a year for close to full-time help.

  • Assisted living: about $6,200 a month, roughly $74,400 a year.

  • Nursing home: about $129,575 a year for a private room, about $114,975 for semi-private.

Here is the part most families get wrong.

Medicare does not pay for this. Original Medicare doesn't cover long-term custodial care, meaning help with everyday activities like bathing, dressing, and eating, when that's the only care you need (Medicare.gov). It covers up to 100 days in a skilled nursing facility, but only short-term, after a qualifying hospital stay, for skilled medical recovery.

So who does pay? In practice, families cover long-term care with some mix of four things: personal savings, long-term care insurance if they bought it earlier, help from family, and Medicaid. Medicaid does cover long-term care, but only after you've used up most of your own savings, and the income and asset limits are strict and vary by state. Knowing this now is what lets you plan instead of being taken by surprise.

Comparing Staying, Modifying, and Moving

Compare the options on total cost over time, not on the sticker price of a move.

  • Staying as-is. Your current monthly costs, plus a realistic reserve for future repairs and possible care.

  • Staying with modifications. The one-time cost of changes, spread over the years you'd remain.

  • Downsizing or moving. The proceeds and costs of a sale, the price of the next home, and how the new monthly costs compare. A smaller or single-level home can lower upkeep, taxes, and energy costs, and can free up equity.

  • An independent retirement community. Often a higher monthly fee that bundles maintenance, some services, and social connection. Compare the all-in monthly figure against what you actually spend now, including the upkeep you'd no longer handle.

There's no universally right answer. Sometimes staying, with a few fixes, is plainly the most affordable path. Sometimes the math points clearly toward a move that protects your independence and your savings at once.

Ways to Bridge a Gap

If the numbers are close but not quite there, staying may still be possible. Each option below carries real trade-offs.

  • Rent out part of your home. A spare room, a basement, or an in-law unit can add steady income and, sometimes, company. Check local rules and tax implications first.

  • A home equity line of credit (HELOC) or home equity loan. These let you borrow against your equity, the part of your home's value you own outright. Upfront costs are typically lower than a reverse mortgage, but you make monthly payments, you must qualify under the lender's underwriting, and the home secures the loan.

  • A reverse mortgage (HECM). This lets homeowners 62 and older borrow against their home's value with no monthly payments. The loan is repaid when you sell, move out, or pass away, and it can also come due if you are away from the home for more than six months.

A reverse mortgage can be a sensible tool in the right situation, but it isn't free money. Three things to understand before considering one:

  • The balance grows over time, as interest and fees are added to what you owe.

  • It reduces what you can leave to your heirs.

  • You must keep paying property taxes, insurance, and upkeep, or you risk losing the home (Consumer Financial Protection Bureau).

Federal rules require a counseling session with an independent, HUD-approved counselor before you can take one out. Use that session fully, and treat any high-pressure sales pitch as a reason to walk away.

Don't choose among these alone or in a hurry. This is exactly the point to bring in independent help.

Next Steps

  1. Write down the three numbers. Monthly costs, the cost of any changes, and a realistic reserve for care. Seeing them on one page turns a vague fear into a solvable problem.

  2. Check for benefits you're owed. Many older adults miss programs that could help. The National Council on Aging's free BenefitsCheckUp screens for assistance, and your Area Agency on Aging can point to local programs.

  3. Get one professional opinion on the money. A fee-only financial planner can run "will my money last" with your real numbers, including a care scenario.

  4. Look at care funding now, not later. Understand what Medicare and Medicaid will and won't cover for you, and whether long-term care insurance still makes sense at your age.

When to Get Professional Help

Oupa helps you think through and plan these decisions. We don't give financial, legal, or tax advice. For those, the right professional matters.

  • A fee-only financial planner, such as a CERTIFIED FINANCIAL PLANNER™, can model your income, savings, and a long-term care scenario. "Fee-only" means you pay them directly and they earn no commissions, so their advice isn't tied to selling you a product.

  • An elder law attorney can advise on Medicaid planning, estate documents, and protecting assets within the rules.

  • A HUD-approved housing counselor is required before any reverse mortgage, and can review home equity options with no product to sell you.

  • Your Area Agency on Aging, via the Eldercare Locator at 1-800-677-1116, can connect you to local cost assistance and home modification programs.

Oupa Perspective

The money question is heavy, but it's answerable, and you shouldn't have to answer it alone or in a crisis. Faced early and calmly, with real numbers, it almost always gets smaller.

Oupa isn't here to talk you into staying or moving. Both can be the financially sound choice, depending on your numbers. We're here to help you see those numbers clearly and decide for yourself. And we never accept referral fees from senior care facilities, ever. So the guidance you get is about your independence and your savings, not anyone's sales target.

Key Takeaways

  • "Can I afford to stay" is three questions: keeping up with monthly costs, funding any changes, and handling the cost of care if you need it.

  • The cost of care is the real worry, and the one most people misjudge. Medicare doesn't cover long-term custodial care. It's paid through savings, insurance, family help, or Medicaid for those who qualify (Medicare.gov).

  • About 70 percent of people will need some long-term care after 65, but most who do need it for a manageable period, and roughly a third never do (ACL). Plan for the risk without being paralyzed by the worst case.

  • Compare staying and moving on total cost over time, not sticker price.

  • Renting out space, a HELOC, or a reverse mortgage can bridge a gap, each with real trade-offs, and a reverse mortgage only with HUD counseling first.

  • Finances are one of five areas that shape staying independent. See Oupa's Resources for the other four: home, health, support, and lifestyle.

Sources