By Jeff Ostroth
THE ERICKSON TRIBUNE
Last month we launched a new series on the innovations that Erickson Retirement Communities and its founder, John Erickson, have pioneered over the years, which are changing the way older adults live. In this article, we take a closer look at the innovation that started it all: the 100% Refundable Entrance Fee.
Introduced in 1983 with the opening of Erickson’s first community in Catonsville, Md., the 100% Refundable Entrance Fee put an exciting and enriching new lifestyle within the reach of middleincome retirees. Today, over 17,000 people at 18 Erickson communities—including more than 1,000 people at Cedar Crest—are benefiting from this innovative financial arrangement.
Still One of the Few
The 100% Refundable Entrance Fee allows you to live in your apartment home and enjoy all the amenities and services provided by Erickson communities. At the time it was introduced, it was unheard of that an entrance fee would be returned in full. Today, it is still the exception.
Most other communities only return a portion of the fee when you leave—or nothing at all—costing you or your estate tens or even hundreds of thousands of dollars. By contrast, Erickson communities are among a very few that return 100 percent of the entrance fee.
This means that whether you decide to move or live in the community for the rest of your life, the entrance fee will be returned to you or your estate, in full, once the apartment home has been reoccupied.
Save on Closing Costs—Twice
There are additional savings involved. Since it is an entrance fee, and not the purchase of another house or condo, you avoid a long list of expenses typically associated with real estate transactions. On the purchase alone, you’ll save on attorney’s fees, title search and title insurance, survey fee, and a year of property insurance in advance.