Regency Oaks is the one Continuing Care Retirement Community in Clearwater Florida. It is a favorite among seniors nationwide and highly sought after. Learn why seniors love life at Regency Oaks in Clearwater, how they fund their Entry Fee as they transition to this beautiful community, and download a helpful Funding Guide.
Regency Oaks in Clearwater Florida is a Favorite Continuing Care Retirement Community.
At Second Act Financial Services, we specialize in helping seniors fund their Entry Fees through convenient bridge financing which we discuss more in detail below. Working with thousands of retirement communities across the USA our clients often tell us which communities they love.
Regency Oaks in Clearwater Florida is one such community! Seniors from all across the USA make the move to Regency Oaks because it is a life and retirement destination right by beautiful waters, beaches, and no shortage of recreational opportunities from shopping, dining and the arts!
As seniors prepare to make the move one question we hear all the time is “But how do I fund my Entry Fee?” We answer this question in today’s blog.
But First, Here are Four Reasons Seniors Move to Regency Oaks in Clearwater Florida:
Regency Oaks is located in the heart of Clearwater, Florida. It is a retirement community with one of the best reputations in the state of Florida as well as nationwide. With its cordial hospitality, variety of amenities, meaningful and vibrant lifestyle along with its highly regarded focus on quality care, Regency Oaks presents an exciting way of life you simply cannot resist!
“I wish I had moved in sooner!” is something we hear from our Second Act clients all the time. Here’s why seniors love Regency Oaks:
1. Prime Coastal Location
Regency Oaks is less than ten minutes from the waters of Tampa Bay providing easy access for residents to some of the most beautiful beaches Florida has to offer. The city of Clearwater is known for Clearwater Beach, a 3-mile stretch of white sand full of hotels, restaurants and quality shopping.
The warm climate and gentle ocean breezes make outdoor activities a true delight any time of the year in Clearwater. From days spent at the beach, walks along scenic shores, to simply basking in the sun-the coastal setting really enhances the quality of life for those residing here.
2. Regency Oaks spans 40 acres of beautiful grounds.
Few retirement communities can boast over 40 acres of beautiful grounds to enjoy amongst friends and pets just a few miles from the award winning Clearwater Beach. There is no shortage of things to do throughout this expansive, inviting setting.
3. Wellness Programs
As a community offering Life Care, a focus of Regency Oaks is the health and wellness of its residents. Wellness is many things: socialization, exercise, friendships, and a good diet. Living at Regency Oaks you don’t have to worry about making any of this possible. The community makes it happen for you. Surrounded by peers with a similar life focus, varied life experiences providing for a wide range of perspectives with which to engage in meaningful conversations, and meals together with others of like spirit and energy, together all of these benefits create true wellness.
4. Healthcare Services and the Peace of Mind of Life Care.
As a community regulated by the Florida Office of Insurance Regulation, or Floir for short, Regency Oaks offers Life Care. As discussed earlier, Life Care is a promise by the community to care for your needs as you age, with predictable contract options upon entry.
A seminal aspect of CCRCs is the “Life Care” contract which provides you with the opportunity to lock in future healthcare needs at today’s costs. This can bring predictability and peace of mind to your financial and health planning. As you age, if you are in need of assistance, there is often on the same campus the option of Assisted Living, Memory Care or Skilled Nursing Care, making it attractive especially for couples living together.
Now that you have learned why seniors love Regency Oaks in Clearwater Florida, how exactly do you fund your Entry Fee to this wonderful community?
Download our free Guide here to learn about contract types offered by CCRCs and how seniors pay for their Entry Fee at Regency Oaks in Clearwater Florida and similar communities. Be sure to share this Guide with your family or professional financial advisors because they too will find it helpful!
Six Ways Seniors Fund their Entry Fees at Regency Oaks in Clearwater Florida and other similar retirement communities.
1. Sale of Your Home:
Many seniors use the proceeds from the sale of their home as their “Entry” to Regency Oaks. This strategy is very common, if not the most common way, seniors fund their Entry Fee to Regency Oaks and other similar communities across the nation. But preparing the home for sale takes time.
Second Act Financial Services can connect you with the right real estate professionals who understand senior move management and can help coordinate the details for you at no charge. Whether you utilize the free assistance that can be provided by Second Act Financial Services or your own local realtor, be sure to follow these key points:
Always use experienced and reputable real estate agents. Not agents that are very part time. Sometimes your friend may not be the best agent. Make lists of what you want to keep, donate, and let go. Does the home need any repairs? It is important to work with a local agent who will help you find the handymen you need.
At Second Act we work to find agents willing to go the extra mile who will:
− Take professional photographs
− Help you de-clutter
− Properly stage and list your home
− Help you with your packing and moving
− Ensure you are comfortably moved into your new home
Enjoy life in your new community, while the Second Act Financial Services professionals work on your behalf and report to you every step of the way!
Call 888.999.7372 for immediate and prioritized assistance in selling your home!
2. Bridge Financing:
Most seniors usually sell their home and use the cash proceeds from their home sale to pay for their Entry Fee. For those seniors who would like to move into a CCRC first and enjoy the benefit of time to prepare, list and sell their home, a Home Equity Line of Credit for Senior Living such as the one offered by Second Act can act as a bridge loan for your CCRC entry fee. It is easier to clean, prepare, stage, list, and sell your home for the best price if you are not living in it.
How Second Act Bridge Loan Financing for Works:
– Apply for an overall line of credit amount.
– Draw what you need to fund your community’s Entrance Fee and monthly service fees.
– Make much smaller, interest-only payments on your outstanding balance.
– Enables you to enjoy the benefit of time so you can prepare and sell your home for the highest and best price.
– Pay back your line of credit when you have sold your home.
Seniors find it helpful to know that bridge financing is an often-used financial tool to help you move now while giving you the benefit of time to sell your home for the highest and best possible price.
Call 888.999.7372 to see if bridge financing by Second Act could be of help to you and to receive special, prioritized service.
3. Withdraws from Your Retirement Accounts:
There are many different types of retirement accounts, such as traditional IRAs, Roth IRAs, 401ks, and more. You may own more than one type of retirement account. When considering a withdrawal from a retirement account we strongly recommend a review of your options with a tax accountant and financial advisor before making any decisions. Large withdrawals from most IRAs (with the exception of Roth) will typically trigger a large income tax bill — potentially at a higher tax rate, and may also trigger a Medicare surcharge. A few hours of time with a tax professional could save you a lot of money in unexpected tax consequences.
First Step: Take Inventory of Your Accounts
The tax impact and potential withdrawal penalties vary by the type of retirement account. The first step in determining your options for potential withdrawals is to understand which types of accounts you have.
Be sure to visit www.secondact.com/LifePlan to learn about all the various types of retirement accounts, along with the most recent limits and details. While the page is not tax or financial advice, it can give you a good baseline for a conversation with professionals who specialize in tax and retirement account management.
4. “Margin Loans” – A Loan based on the value of your securities
If you have a sizeable investment account with a large brokerage firm, you may be able to obtain cash quickly by borrowing against their value. How much you can borrow depends on the firm. In some cases, you may be able to borrow up to 70% or more of the value of the underlying securities you post as collateral, depending on the size of the account. Sometimes referred to as a “portfolio loan” or a “securities-backed line-of-credit,” many investment and brokerage houses offer this kind of loan.
How does an investment loan work?
You select the securities you would like to borrow against, although there are restrictions. You then decide what percentage to borrow against, up to the maximum percentage allowed. The brokerage firm provides you with a Line of Credit that you can draw upon up to the approved credit limit. Funds are typically made available for use within days.
What are the pros and cons?
In a volatile market, large securities-backed loans can be somewhat risky because if the value of your account declines, you may have to post more collateral to keep the borrowing ratio in your loan agreement. Many seniors do not want the unpredictability that comes with a securities loan and opt for a Home Equity Line of Credit in its place. However, if the loan amount is relatively small compared to the overall account value, then the risk may be lower.
Many people do not realize that they can possibly take out a loan with their securities (investments such as stocks and mutual funds) serving as collateral. The amount you can borrow varies and depends on the parameters set by the investment or brokerage firm.
Typically, the securities loaned against cannot be sold or traded until the loan is paid back. And if the value of the securities declines past a certain amount you may have to post more collateral.
5. Sale of Your Securities:
Selling securities is also an often utilized approach to funding your Entry Fee. But be mindful because large and unintended tax consequences are not only triggered by withdrawals from retirement accounts, but potentially from other investments you hold, such as stocks, mutual funds, and ETFs which you decide you want to sell.
The amount of time you’ve held the shares, which shares you choose to sell, whether there is a gain or loss, and timing of the sale can all make a big difference in the potential tax due.
As of September 2024 the short-term capital gains tax is your ordinary income tax rate which ranges from 0% to 37%. And the long-term capital gains tax rate ranges between 0% – 20% again depending on your Adjusted Gross Income for the year.
6. Sale or Borrow from Your Life Insurance:
Life insurance is often purchased during the income-earning years so if the unexpected happens the survivors have adequate cash on hand to replace lost income and cover debt burdens. But as circumstances evolve, you may no longer have as much of a need for coverage.
If you find this to be the case, then your life insurance policy may be an asset you can tap into or even sell for cash. The possible options include:
Life Settlement
The most common life settlement solution is an all-cash lump-sum payment to the policy owner where the purchaser takes over all future premium obligations and becomes the beneficiary
Exchange to an Annuity
You may be able to do a tax-free 1035 exchange of your life insurance policy into an annuity, which can then be used to provide a guaranteed income stream for a period or for life. This may not necessarily help pay the entry fee directly, but it may help replace income that otherwise would have come from other assets you choose to sell.
Long-Term Care Benefit
Many life insurance policies include a rider for long-term care insurance. Yet, there are other types of hybrid policies available that still provide life insurance but also include substantially more coverage for long-term care. You may have the option to convert your life insurance policy to a hybrid policy if it makes sense for your unique situation and financial plans.
Retained Benefit
You may also decide to keep a portion of your coverage intact with no future premium obligations.
If you have a life insurance policy in the amount of $100,000 or greater and want to explore your options, call the Second Act Financial Services number below for prioritized service.
Call 888.999.7372 to be connected to a life insurance sale options for your consideration with prioritized care and service.
Important Disclaimer
The information in this page is not meant to serve as financial, tax, or personal financial planning advice. No decisions should be made from reading the information on this page. Decisions should be made after careful analysis and consultation with your financial, tax, accounting, or other professional advisor licensed to provide retirement advice. Second Act is a Division of Liberty Savings Bank, F.S.B. Member FDIC. Lending and loan services provided by Liberty Savings Bank, F.S.B. NMLS # 408905. Equal Housing Lender. All other services provided by Second Act Financial Services, LLC. This information is current as of 1/01/2024. Subject to credit and loan approval. Conditions and limitations apply. Information, rates and terms are subject to change without notice. © 2024 Second Act Financial Services, LLC. All Rights Reserved.
Recent Comments