Types of Elderly Care Facilities: Your Complete Guide to Every Option
When families first start researching care options for an elderly parent, the terminology alone can feel overwhelming. Assisted living. Skilled nursing. Residential care home. Memory care. CCRC. Adult foster care. These terms get used loosely and sometimes interchangeably, even though they describe genuinely different things.
This guide cuts through that confusion. It explains each type of elderly care facility in plain language, who it is designed for, what it typically costs, and how it differs from the options on either side of it.
Before diving into individual types, one distinction helps everything else make sense.
The Two Broad Categories: Medical vs Non-Medical Care
All elderly care options fall into one of two broad categories.
Custodial care (non-medical) covers help with Activities of Daily Living (ADLs): bathing, dressing, grooming, meal preparation, transportation, and medication reminders. This type of care does not require a licensed medical professional to deliver. Most assisted living, residential care homes, and independent living fall into this category.
Skilled care (medical) covers services that require licensed medical professionals to provide: wound care, IV therapy, physical therapy, occupational therapy, speech therapy, and complex medication management. Nursing homes and skilled nursing facilities fall here.
Understanding which category your parent currently needs, and might need in the future, is the single most useful filter for narrowing down the options below.
Independent Living Communities
Independent living is for seniors who are fully capable of managing their own daily lives but want a community of peers, a smaller home to maintain, and built-in social connection.
These communities, sometimes called retirement communities, senior apartments, or 55-plus communities, provide housing without personal care services. Residents live in their own unit, manage their own routines, and participate in shared amenities and activities as they choose.
Who it is right for: Seniors who are healthy, independent, and no longer want the burden of homeownership but do not need any hands-on assistance.
What it costs in Arizona: Typically $1,500 to $3,500 per month depending on location, unit size, and amenities. Many communities charge separately for meals and activities.
What it does not provide: Personal care, medication management, or medical services.
Residential Care Homes (Small Group Homes)
This is the option most families have not heard of, and it is frequently the best fit once they learn about it.
A residential care home, also called a group home for seniors, board and care home, or adult foster care home, is a private house in a regular neighborhood that has been licensed to provide care for a small number of residents. The National Institute on Aging describes these as small private facilities that typically house fewer than 20 residents, though many serve far fewer, often five to ten people or less.
In Arizona, the Arizona Department of Health Services (ADHS) licenses these facilities in two size categories: Adult Foster Care Homes (up to 4 residents) and Assisted Living Homes (up to 10 residents). Both sit in residential neighborhoods, operate in actual houses, and provide a genuinely home-like environment rather than an institutional one.
The caregiver-to-resident ratio in a small home is significantly better than in a larger facility. Staff know every resident by name. Meals happen at a kitchen table. Daily routines are flexible enough to accommodate individual preferences. Family members can visit the way they would visit a home.
Who it is right for: Seniors who need personal care assistance but would do better in a small, quiet, familiar environment than a larger institutional setting. Particularly well-suited for those with early to moderate dementia, anxiety, or a strong preference for calm and routine.
What it costs in Arizona: Typically $3,500 to $5,500 per month, often all-inclusive, with fewer add-on fees than larger facilities.
What it provides: Personal care assistance, meals, housekeeping, medication management, social activities, and 24/7 staff presence.
Gift of Love, operated by Gracious Hearts Inc. in Phoenix, is a licensed residential care home that operates on exactly this model. With a small number of residents, consistent staff, and daily life built around individual routines rather than institutional schedules, it offers a level of personal attention that larger facilities genuinely cannot match. You can learn more on the Gift of Love page.
Assisted Living Facilities (Large Communities)
Assisted living facilities are the most widely recognized category of senior care. They are larger residential communities, ranging from a few dozen to several hundred residents, that provide personal care services alongside housing, meals, activities, and social programming.
In Arizona, ADHS licenses larger assisted living facilities as Assisted Living Centers when they house 11 or more residents. These are the communities with dining rooms, activity calendars, on-site salons, fitness centers, and organized outings. Staff are available around the clock, and care services are typically tiered by the level of assistance a resident requires.
Three care levels are available in Arizona-licensed assisted living:
- Supervisory Care for residents who are largely independent but benefit from oversight and reminders
- Personal Care for residents who need hands-on help with bathing, dressing, and medication management
- Directed Care for residents who cannot make their own basic care decisions, usually due to dementia
Who it is right for: Seniors who need regular personal care assistance and would benefit from a social community, on-site activities, and the security of round-the-clock staff, and who do well in a busier, more stimulating environment.
What it costs in Arizona: The median monthly cost is approximately $6,250, according to the 2025 CareScout survey, with a range of roughly $3,500 to $8,000 depending on location, room type, and care level.
What it does not provide: Skilled nursing care or complex medical services, though many communities have visiting doctors and nurses and can manage chronic conditions with appropriate medication oversight.
Memory Care Communities
Memory care is specialized assisted living for seniors with Alzheimer’s disease, other forms of dementia, or significant cognitive impairment. It is not a separate facility category so much as a licensed designation within assisted living, though many stand-alone memory care communities exist.
In Arizona, memory care facilities operate under a Directed Care license and, as of July 1, 2025, must obtain a memory care license subclass from ADHS. New regulations require staff in memory care units to complete ADHS-approved dementia-specific training programs. Facilities providing memory care must also meet enhanced safety protocols, including elopement prevention and specific environmental design requirements.
The key differences from standard assisted living: higher staff ratios, secured perimeters to prevent wandering, programming specifically designed for cognitive impairment, and staff trained specifically in dementia care and behavior management.
Who it is right for: Seniors with moderate to severe dementia who require consistent supervision, a structured and secure environment, and staff skilled in dementia-specific communication and care.
What it costs in Arizona: Standard assisted living costs plus $1,000 to $2,000 per month for the memory care designation, placing most memory care in Phoenix in the $6,000 to $9,000 per month range.
Continuing Care Retirement Communities (CCRCs)
A Continuing Care Retirement Community, or CCRC, is a campus-based model that offers multiple levels of care in one location: independent living, assisted living, memory care, and skilled nursing, all on the same grounds.
The major appeal of a CCRC is continuity. A couple can move in together when one is independent and the other needs assisted living. A resident who starts in independent living and later needs skilled nursing care can transition within the same community without moving to a different facility.
The major complexity is the financial structure. Most CCRCs require a substantial entrance fee, sometimes $100,000 to $500,000 or more, in addition to ongoing monthly fees. Different contract types determine how much of that fee is refundable and what it covers. Understanding the contract structure requires careful review, often with the help of an elder law attorney or financial advisor.
Who it is right for: Seniors and couples with significant assets who want to plan ahead, value community continuity, and want to avoid multiple facility transitions as care needs change.
What it costs: Highly variable. Monthly fees typically range from $3,000 to $7,000 after entrance fees are paid.
Skilled Nursing Facilities (Nursing Homes)
Skilled nursing facilities, commonly called nursing homes, provide the highest level of non-hospital medical care available. They are staffed by registered nurses, licensed practical nurses, and certified nursing assistants around the clock, and they can provide services including wound care, intravenous medications, rehabilitation therapy, and complex chronic disease management.
In Arizona, skilled nursing facilities are licensed by ADHS and regulated in partnership with the Centers for Medicare and Medicaid Services (CMS). They are subject to federal inspection and must meet federal standards to accept Medicare and Medicaid residents.
Nursing homes are sometimes used for short-term rehabilitation following a hospital stay, covered by Medicare for up to 100 days under qualifying conditions, before a resident returns home. Others require long-term placement.
Who it is right for: Seniors who require 24-hour licensed nursing supervision, those recovering from surgery or serious illness who need intensive rehabilitation, and those with complex medical needs that exceed what assisted living can provide.
What it costs in Arizona: A semi-private room averages approximately $7,604 per month; a private room averages approximately $9,429 per month.
Coverage: Medicare covers short-term skilled nursing stays following a qualifying hospital stay. Arizona’s ALTCS Medicaid program may cover long-term nursing home costs for those who meet medical and financial eligibility requirements.
Adult Day Programs
Adult day programs are non-residential. Participants come in during daytime hours, typically weekdays, and return home in the evening. Programs provide structured social activities, meals, health monitoring, and in some cases physical or occupational therapy services.
These programs serve two overlapping purposes: they provide meaningful engagement and supervision for the senior during the day, and they give family caregivers who work or need respite a safe, supervised option during those hours.
Who it is right for: Seniors who still live at home but would benefit from structured daytime activity, social connection, and supervision. Also a useful bridge option while families evaluate longer-term care needs.
What it costs in Arizona: Typically $75 to $150 per day depending on the program and level of services provided.
In-Home Care
In-home care brings support to the senior rather than moving the senior to a facility. There are two distinct types:
Home care (non-medical): Personal care aides or homemakers help with ADLs, meal preparation, light housekeeping, transportation, and companionship. No medical license is required to provide these services. In Arizona, home care rates typically range from $28 to $38 per hour.
Home health care (medical): Licensed nurses, physical therapists, occupational therapists, or speech therapists provide skilled care in the home. This is often covered by Medicare when ordered by a physician following a hospitalization or for a qualifying medical condition.
Who it is right for: Seniors who want to remain at home and can do so safely with some level of support. Works well for mild to moderate care needs and for those recovering from a health event. Becomes less practical and more expensive as care needs increase toward round-the-clock supervision.
How to Decide Which Type Is Right
The level of care your parent currently needs is the starting point. Here is a practical framework:
If your parent is healthy, independent, and social but ready to downsize: independent living.
If your parent needs some help with daily tasks and does well in a smaller, calmer environment: residential care home.
If your parent needs regular personal care assistance and would benefit from an active social community: assisted living facility.
If your parent has dementia or significant cognitive impairment: memory care, or a residential care home with directed care licensing.
If your parent needs complex medical care around the clock: skilled nursing facility.
If your parent still lives at home and needs daytime supervision or part-time support: adult day program or in-home care.
If you are not sure what fits best, a geriatric care manager can assess your parent’s needs and recommend the appropriate level of care. In the Phoenix area, Gracious Hearts Inc. also offers a Find For Me service specifically designed to help families navigate exactly this question.
A Note on Arizona-Specific Licensing
In Arizona, all residential care options are licensed and overseen by the Arizona Department of Health Services (ADHS). Facilities are categorized both by size (Adult Foster Care Home up to 4 residents, Assisted Living Home up to 10, Assisted Living Center 11 or more) and by care level (Supervisory, Personal, or Directed Care).
You can verify any Arizona facility’s license and inspection history through the ADHS Public Health Licensing Services portal. Always check a facility’s license and review its inspection history before making a decision.
If you have questions about which facility type is right for your parent, or want to tour a licensed small residential care home in the Phoenix area, the team at Gracious Hearts Inc. is available to help. Call (480) 705-9118 or book an appointment online.
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