For so many Colorado families, that topic is long-term care.

It's a wonderful thing that we get to enjoy the Colorado lifestyle for longer than ever. But with our state’s rapidly aging population, it means more of us will eventually need some help with daily living. And here, that conversation comes with a hefty price tag. The latest numbers for 2025 are staggering: the median cost for a private room in a Colorado nursing home is now nearly $10,000 a month. Even having a home health aide come to the house can run over $87,000 a year.

When you combine those costs with Colorado’s housing market, it feels like a pressure cooker. We want to do what’s best for our parents, but the financial reality can be overwhelming.

This isn’t a theoretical problem.

I was recently struck by the story of a man from Greenwood Village whose 93-year-old father had dutifully paid into a long-term care insurance policy for over 20 years. When his father developed dementia and needed memory care, the family’s claim was denied on a technicality. After paying over $25,000 in premiums, they were left footing the entire bill themselves, a story that is all too common.

The Search for a Solution (And the Usual Roadblocks)

When faced with a situation like this, most Colorado families start down the same path, only to find the options are tougher than they seem.

• Long-Term Care Insurance: As the Greenwood Village family discovered, even if you have a policy, it might not come through as expected. For those who don’t have one, getting a new policy later in life is often financially out of reach.

• Medicaid (Health First Colorado): This is a critical safety net, but to qualify for long-term care benefits in Colorado, the rules are strict. A single person in 2025 can’t have more than $2,901 a month in income and can only have $2,000 in countable assets. To get there, many families have to go through a painful "spend-down" process—draining savings accounts and selling assets they worked their entire lives to build. It can feel like you have to lose everything just to get the help you need.

• Personal Savings: With the high cost of living in our state, from property taxes to groceries, even a healthy nest egg can disappear with frightening speed when you’re paying thousands each month for care.

Finding a Lifeline in an Unexpected Place: A Colorado Reverse Mortgage

It's often when families feel they're out of options that they discover a tool they hadn't considered: a reverse mortgage.

The idea is simple: it allows a homeowner aged 62 or older to tap into the value of their home, turning that equity into cash. The best part? You don't have to make monthly mortgage payments. For many Coloradans, their home is their largest asset, and this is a way to make it work for them.

Think of it this way:

• Keep Your Colorado Home & Your Savings: Instead of selling the beloved family home or draining your investment accounts to pay for care, you can access the home's value while still owning it. This was the solution for a widow in Pueblo who was able to pay off her mortgage and get a lump sum of cash, all while staying in the home she loved.

• Flexible Funds for Your Needs: A reverse mortgage gives you options. You could take out a lump sum to pay for major medical expenses, like the Denver couple who got $26,000 in cash to supplement their tight budget. Or, you could set up a line of credit for ongoing needs, providing peace of mind knowing the money is there when you need it.

• The Key to Aging in Place: So many Colorado seniors want to stay in their homes and communities. A reverse mortgage can provide the funds to make that happen. One 84-year-old woman in Colorado Springs used it to get a lump sum of $126,000 to pay for her husband’s nursing home care, allowing him to get the help he needed without them losing everything.

Is It the Right Choice for Your Family? Some Honest Talk.

A reverse mortgage is a big decision, and it’s not for everyone. It’s a loan that accrues interest, and there are fees involved. It’s crucial to talk it through with your family and a professional. In fact, you’re required to speak with an independent, HUD-approved counselor before you can even get one. Luckily, Colorado has fantastic, reputable counseling agencies, like Money Management International and GreenPath Financial Wellness, right here in the Denver area, and others across the state.

Talking about this stuff is hard. But starting the conversation is a gift. In a state where we value independence and quality of life, it's vital to know all your options. A reverse mortgage might just be the unexpected key that allows your family to handle the challenge of long-term care with security, dignity, and peace of mind.

A Quick Note on the Stories We Share

The stories and names mentioned in this article, like the family from Greenwood Village or the widow in Pueblo, are based on real-life scenarios common to many families. To protect everyone's privacy, the names and identifying details have been changed. Our goal is to illustrate the kinds of challenges people face and the potential solutions available—just the facts, ma'am.

Important Legal Disclaimer

This article is for informational and educational purposes only and is not intended to be financial, legal, or tax advice. The information is general in nature and may not be suitable for your individual situation (but you won't know until you ask).