Buying for Retirement? Consider this…
Think about your goals for real estate when you were first working or first entering the workplace. The decision to have a long-term relationship or to have children helped you move along a path in real estate. Fast forward 40- 50 years and your needs, expectations, and desires change. And let’s hear it for the working people that want to retire by the time they are 40! Go for it!
For today’s changing family demographics, let’s address a few scenarios that apply to buying for retirement.
Choose an Appropriate Size
Many couples seek large houses early in life because they expect to have children. Once the next generation has vacated, staying in a home that’s larger than necessary will cost more money and may not provide happiness. It’s time to think about downsizing or right-sizing. Consider a condo or apartment for minimal upkeep, which will free up time and income for enjoyable activities.
Move into a Single-Level Home
Many people experience mobility issues as they age. Stairs that separated the children into their own personal space may now present challenges. For some people, moving to a simplified home lets them live independently for additional years. For example, a single-level home without a front porch eliminates stairs entirely, or a condo with an elevator allows you to enjoy a magnificent view without sacrificing independence.
Find a Convenient Location
At some point, retirees may reluctantly decide that they don’t feel safe driving their cars. When the warning signs of unsafe driving occur, give up the keys before an accident forces the issue. Many retirees are choosing to move closer to the action—shows, restaurants, and museums—and are exploring lofts or condo-style living with easy access to public transportation. A newer variety of independent living arrangements or assisted living can provide a retiree with a “country club” like environment. For this reason, consider shopping for a variety of home options in a variety of locations.
Stay Under Budget
It’s important to have a full understanding of your current monthly income and fixed expenses. Unfortunately, no one can predict future costs of medical, living expenses, utilities, and entertainment. While no one wants to live on a fixed monthly budget, planning for investments and part-time employment may offset the shock of transitioning income. And it is a shock! Be realistic when searching for your next home.
Consider Building an ADU (Additional Development Unit)
Many of my clients don’t want to move out of the areas they love, but eventually they realize they need to downsize, help a family member with a temporary home, or supplement their income with a rental. ADUs are an add-on home to your existing structure, and building one on your property is a possible solution to these issues. Consult your county or town for rules governing ADUs if this option interests you.
When it comes to locating and buying a retirement home tailored to your needs or learning about strategies for staying in place, I hope you call me so we can strategize together!