Should You Buy or Rent When Entering Retirement?

Writting retired and enjoying life on an application form concept for a comfortable retirement

It’s the moment we all wait for, whether it comes after many years of dedication to our job, or recently winning the billion-dollar Powerball lottery, and that moment is your retirement. We’ve all had our own thoughts about what we would do when we eventually reached this stage of our life, whether it be traveling the world, spending more time with family, or anything else. However, once you retire, you may consider changing your living arrangements; maybe you choose to downsize to a smaller home that’s easier to maintain, or you may decide to rent a place. This is an important decision to make as a retiree, so here are some tips for deciding in which direction you should go.

The first thing you need to think about is how long you plan on staying in your new location. If you can envision a long-term residence in a certain house, it would be best to buy. If you think you’ll only be staying in your next location for only a few years, it may be worth it to rent. As a retiree, you may want to use your free time to experience the world and live in a few different places.

No matter how old we are, a pet is always a comforting presence. Obviously, if you decide to buy your own house, you can have a pet without any trouble. But, if you decide to rent, you must check the rental guidelines concerning pets because some rental properties may not allow you to have them. Although I don’t have any pets, I can still tell you that, if I had one, I wouldn’t want to be separated from them in my new living arrangement, so you have to look for a new residence that not only fits within your financial means, but will also allow your pet to live with you.

You also have to factor in the conveniency that each option offers. When you own a home, you have to take into consideration the amount of repairs you may need to face at certain points. When you enter retirement, if you feel like you’ll be able to keep up with the necessary work that’s needed to maintain a house, then, by all means, go for a new house; but, choose one that’s relatively easy to take care of, maybe even one in a 55+ community. However, if you rent a property, repairs won’t be your responsibility because you’ll have a landlord to handle all of that for you. Instead of having the upkeep of the house be your responsibility, you’ll be able to focus on other things that are less bothersome. But, you must remember, if you decide to rent, you may not be allowed to do too much personalization in your home because it’s still the landlord’s property, and they have final say about what you can do with your rental home.

“When a homeowner is downsizing or considering renting, they need to consider their lifestyle as well as finances,” said Teresa O’Shaughnessy, manager of Better Homes and Gardens Rand Realty’s office in Pearl River, NY.  “If a homeowner doesn’t want to or can no longer maintain a home, moving into a rental or condo may be a good alternative.”

Proximity to family may also be a significant factor as to whether or not you buy or rent. If you know you’ll be staying in once place for several years, you may want to live near your family in case you need them for anything. In the scenario you feel you won’t be staying in one place for a long period of time and don’t mind being away from your family after one of your moves, then go for a rental property.

Retirement is an enjoyable time in a person’s life, but there are still some important decisions to be made as you enter this stage, and you should take time to think about what will be best for you in the years to come. Remember, you have arrived at these relaxing years after a lot of hard work, so make sure you choose a living arrangement that will meet your needs. Whether you choose to buy or rent, make these years some of the best of your life. You deserve it!

To learn more about Better Homes and Gardens Rand Realty, visit their website and Facebook page, and make sure to “Like” their page. You can also follow them on Twitter.

 

Sources

www.forbes.com

www.smartasset.com

www.investopedia.com

www.consumerreports.org

Posted on January 18, 2016 at 11:35 am
Rand Realty | Category: Rand Country Blog | Tagged , , , , , , ,

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