July 11, 2019

Can Selling Your Home Lead to Early Retirement?

Filed under: Retirement Planning,Senior Housing — Tags: , — seniorlivingguide @ 12:02 pm

Selling Home for RetirementCourtesy of Anica Oaks

The average retirement age in the U.S. is 62, but many Americans dream of retiring 10 or 20 years earlier than that. While early retirement is a dream, the pressing demands of reality and the cost of living make it too far-fetched for most. You may be on the brink of meeting your savings goal, and selling your house might be the final step you need to finally bid your days working a 9-to-5 goodbye.

If you’re contemplating selling your home for early retirement, here’s what you need to know.

Your Home’s Value Isn’t the Most Important Factor

Depending on how long you’ve lived in your house, you could wind up selling it for double or even triple its original closing cost. If your mortgage is paid off, then you’ll have even more money in your pocket to put toward retirement. However, there are a lot of other factors to consider when selling early, particularly real estate tax and buying a new property.

You will have to pay taxes on the home you sold; profits up to $250,000 are tax-free, and that figure doubles for couples who are married and filing a joint return. This could wind up putting your final amount down to a lot less than you expected, and you’ll have to use that money to put a down payment on your new home.

While having a valuable property is certainly an advantage as you approach retirement, it doesn’t guarantee that you’ll be able to retire earlier than planned.

The Cost of Living Can Change

If you want to sell real estate, you have to look at more than just the housing market. You must also consider the average cost of living, employment rates and the economy that will affect both you as a seller and potential buyers. This means that what you can afford to live off of now may not be enough in the future, especially if you decide to retire to a more expensive location.

The Final Verdict

Early retirement is possible, but it’s becoming less of a tangible reality for people as the cost of living in America continues to rise. While you can sell your house and put away a fair amount of money into your savings, you should carefully consider how much money you’ll need to sustain yourself throughout retirement before you make any major decisions.

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September 20, 2018

Snowbirds: Living the Retirement Dream?

By: Darleen Mahoney

Its almost that time of year again…Snowbird season! It begins in October and runs through April.  I live in Florida and you could almost change the name from the Sunshine State to the Snowbird State! They flock down in the winter from New York, New Jersey, Michigan, Canada, and really any state where the temperature is frigid, and the snow plows are a plenty.  According to Florida Realtor Magazine, by 2025 one in every five people living in Florida will be elderly.

Two million baby boomers head south every year. Most snowbirds are between the ages of 50 and 69. They are active, well-educated and adapt to the warmer lifestyle quite well.

Have you ever considered a snowbird style retirement? Many purchase Independent Living or Retirement living homes in communities and spend their winters enjoying fun in the sun with their seasonal friends while avoiding the harshness of the winters back in their hometowns.

So, let’s talk turkey, I mean “snowbird”. It’s a nickname for the Junco bird, but it’s Senior Snow Birdsused to describe a group of seasonal travelers who go to warmer climates. The term has been affectionately known to describe retirees specifically.

Where are the snowbirds coming from? About four out of five international snowbirds traveling into the United States yearly are coming from Canada. Many of these snowbirds will eventually sell their winter homes and move permanently and make their Retirement Community home and become a “sunbird”.

While Florida is well known for being a desired Snowbird destination; Arizona, Las Vegas, Hawaii, California, and Texas are attracting more seasonal retirees. In Texas, they have a different term of endearment. They are known as “winter Texans”.

If you think becoming a Snowbird is right up your ally, consider the packing, the winterizing of your home, the address changing, tax preparation, and ordering prescriptions. The checklist goes on and on and should be considered and well planned out.

On a very positive note: “Snowbirds: Seasonal Migration of the Elderly in Florida” study shoes that more than 63 percent of snowbirds rate their health as “very good” or “excellent”.  In the same report, those that live in the same area year around, reported to have more complicated health issues.

At the end of the day, what any Snowbird needs the most is a retirement community with the amenities and location that meets all their needs. If you think the Snowbird lifestyle is a good choice for you and you need to start your search for a southern retirement living community, visit SeniorLivingGuide.com where many options are located in one place.

The Snowbird lifestyle allows Seniors to enjoy the best of both worlds, they are able to spend their summers in their hometowns with their family and friends, maintaining a aging in place lifestyle. In the winter when the weather is less than desirable, they are able to leave and spend time in a more resort style senior living community in a fashion that may be more of a vacation, lending to a more healthy and happier retirement.

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August 3, 2018

You’ve Retired! How Do You Decide Which State to Retire?

Filed under: Retirement,Retirement Planning — Tags: , , — seniorlivingguide @ 11:03 am

By: Darleen Mahoney

You’ve retired! Congratulations! You are looking forward to your future as you have How Do You Decide Which State to Retire?planned for this day for a long time. Are you thinking about retiring where you’ve vacationed with your family for years, staying close to home or taking a leap of faith and moving? If you are thinking about moving away from the comforts of your home state, are you considering a very practical approach and doing a little research?

What are your criteria for deciding which state to retire to? Do you look at how each state ranks?

  • Socially-Do the people seem to have meaningful friendships?
  • Financially-What is the cost of living, tax rates, etc.
  • Community- Do you think you will love the community where you live?
  • Physically – Overall good health in the community with exceptional health care

According to a new Bankrate study, South Dakota ranks as numero uno as the best state to retire. Followed by Utah, Idaho, New Hampshire, and Florida. The studies ranking, and percentages were based on:

  • Cost of living (20%)
  • Crime (10%)
  • Culture (10%)
  • Health care quality (15%)
  • Taxes (20%)
  • Weather (15%)
  • Wellbeing (10%)

While there are many listicles providing different results, Business Insider sited Florida as the best retirement state while Money Magazine sited New Hampshire. A few criteria used to determine these front runners are affordability, quality of life, and healthcare.

Money also releases a list based on cities to retire in the U.S. basing its rankings on local taxes. The list provides details on demographics over the age of 55, median home price, average tax rate, and top income tax rate.

While we tout a few of the front runners in retirement meccas, its only fair to mention those that fall vastly short. Alaska and New York are mentioned in several listicles as the least desirable. Alaska has severe weather, high crime, and a low percentage of Seniors.

To many, Florida is where many retirees flock and it may be top of mind as there are so many options in retirement communities. The Sunshine State has the highest percentage of 65 years and older out of any other state.

If you’re looking for a retirement lifestyle where life expectancy is significantly longer than most states, Hawaii may be your ticket! The downside to this state is that the cost of living is one of the highest in the nation.

When it comes to deciding on a retirement destination and looking at all the options and listicles, it can be very confusing. These options and rankings are based on different criteria. What’s important to you? We know that with most retirees that the weather, topography, friends, and family are what gets them excited about your new destination. So, looking through these different listicles and how they based their ranking should also be what’s important to you. Once you decide on this next phase of your life and where you want to move, visit us online at www.SeniorLivingGuide.com  , we can help find your next home!

best and worst states for retirement

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