Should You Stay or Should You Go?
Does your retirement plan involve long days of golf in sunny Arizona? Perhaps you’re dreaming of a beachside condo in Florida. Or maybe you want to explore life in a foreign country. The options are endless and overwhelming. Nonetheless, choosing a place to live is one of the most important decisions you can make when planning for retirement. You’ll have to weigh financial, emotional, and lifestyle issues. Below are some tips that may help you make your choice. You can start your retirement housing search by asking yourself these questions:
Where do I really want to live?
Where can I afford to live?
If I’d like to relocate, how much will that cost?
Will relocating allow me to save money on housing and other expenses?
Can I save on taxes by moving to another area?
If I’d like to move, what price can I get for my house?
Where do my friends and family live?
So what if your answers to the above questions suggest relocation is a good idea? It’s hardly an unusual situation. Getting a fresh start in retirement is a dream for many. But depending on your current financial situation, it may not be realistic. Many baby boomers saw their home values plummet during the most recent financial crisis, and some are still underwater on their homes. Others still have hefty mortgage payments heading into retirement. Some people who want to relocate simply may not have the financial ability to do so. If you are interested in moving, it pays to do your homework. Looking into housing in your ideal location is just the start. You’ll also want to think about how much you can get from the sale of your current home (be realistic). Taxes are another issue. Some retirees can save money by moving from a high-tax state to one that offers tax breaks to retirees. Another thing to consider? The cost of travel back to your original home if you still have family and friends living there. If you’re sure relocating in retirement is the right choice for you, don’t rush into a decision. Perform a trial run of a month or two in your ideal destination to see how you really like living there. A place that’s great to visit for a week might lose its luster after a month. In addition to obvious considerations like weather, make sure you think about amenities both fun and not so fun. Are there hospitals nearby? What about public transit in case you’re eventually unable to drive? Will you be part of a ready-made retirement community or will you be on your own when it comes to making new social connections? Are the amenities you’d like to use affordable? Knowing the answers to these questions in advance can help you avoid making costly financial mistakes.
Representative is registered with and offers only securities and advisory services through PlanMember Securities Corporation, a registered broker/dealer, investment advisor and member FINRA/SIPC. 6187 Carpinteria Avenue, Carpinteria CA. 93013, (800) 874-6910. Randall Wealth Management Group and PlanMember Securities Corporation are independently owned and operated. PSEC is not responsible or liable for ancillary products or services offered by Randall Wealth Management Group or this representative. CA Insurance License: #0727953.
This newsletter was prepared by Integrated Concepts Group, Inc. The opinions expressed in this newsletter are for general information only and are not intended to provide specific investment advice or recommendations for any individual. It is suggested that you consult your financial professional, attorney, or tax advisor with regard to your individual situation. The views expressed are those of the author and may not necessarily reflect those held by PlanMember Securities Corporation. Material presented is believed to be from a reliable sources and PSEC makes no representation as to it accuracy or completeness.