Where you live in retirement might have a significant impact on your total financial strategy. “Where do I want to retire?” is one of the most fundamental questions people must ask themselves when considering retirement.
Will you be content in a new location? The response will differ from one person to the next. So, what exactly are you looking for? Is that move going to improve or degrade your quality of life?
Consider the following eight questions before making a significant retirement move, keeping your happiness in mind.
What will you do with your time?
Weekends often seem to fly by, but when you don’t have much to do during the week, days might feel forever. “What will I do all day?” is a fairly easy question that many individuals overlook before retiring and relocating to live out their golden years.
If you have a busy social life, making the decision to relocate may be challenging. Moving may be a lot easier for my workaholic readers who simply drive from home to the office and back.
Have you had enough of the rush and bustle of city life? Do you wish you could relocate to the country and live in peace and quiet?
Are you, on the other hand, bored to death in the country and yearning for the thrills of city life? It’s possible that you’ll be moving to the city in the near future.
Coastal lovers should also bear in mind that, while beach cities are fantastic for holidays, they may not be as tempting during the winter months. They can also be missing out on nightlife and cultural activities. Consider your activities and if you’ll be able to continue to engage in and enjoy them in your new place.
Are you willing to rent after you retire?
“Should retirees own or rent?” is a more in-depth discussion of this question. Consider renting if you’re relocating somewhere new. If you change your mind or choose the incorrect neighborhood, you’ll have the greatest flexibility. Renting in retirement may sound strange to individuals who have owned houses their whole adult life, but it might make financial sense in specific situations.
Renting gives you the opportunity to figure out where you belong in the city. It also allows you time to evaluate if you can manage the four seasons (or lack thereof in Los Angeles) that come with moving to a new city. Renting also eliminates the hassle of house upkeep. Maintenance and repairs must be scheduled and paid for by the landlord.
Downsizing in retirement might help you save money and reduce your responsibilities. On the other side, some couples overestimate their ability to manage a tiny space. Renting allows you to expand or contract your living space as needed. It also makes it easy to relocate if you decide that being closer to friends or family is more important to you.
Is it possible for me to relocate after retirement?
This question may change to, “Can I afford to stay where I am?” depending on where you reside. I took on a client a few years ago who was wanting to retire as soon as possible since she was burned out at work. She reasoned that selling her property in Southern California was the greatest option to retire quickly because practically everywhere else would have a cheaper cost of living than LA. Fortunately, and with a little help from me, we devised a retirement strategy that allowed her to remain in her house and be near her grandkids.
Can you afford to move to a more costly place, for those who are considering it? In a more costly city, how far will your housing expenditures stretch? If you live near the shore, how long will they last? I work with a couple who had set aside ten years of their retirement to live it up in Manhattan. They’ll have to “retire” from the Big Apple Retirement to a less expensive location after that. As a result, you have choices and may be inventive. The idea is to have a strategy in place so you don’t find yourself broke at 85.
Moving will very certainly be an emotional and financial decision in the end. Where do you think you’ll be the happiest? Where would you put your money to get the most bang for your buck? Before you sell your house and relocate across the county, give it some thought.
Time to Make the Call
Are you trying to find an investment advisor? Look no further than Soutas Financial & Insurance Solutions Inc. your Fresno financial planner is committed to helping take the complexity out of retirement planning. By using a variety of insurance and investment strategies that focus on Asset Protection, Long-Term Care Strategies, Legacy Planning, Tax-Efficient Strategies IRA, 401(k) & 403(b) Rollovers, Life Insurance, Annuities, Medicare, we can help you develop an overall retirement income strategy specific to you and your family.
We have a strong team of professionals helping ensure you receive all the assistance you need not only in developing your retirement income strategy, but in maintaining it throughout your retirement. Contact us today at 559-230-1648 or visit us today at Soutas Financial to get your retirement plans on track for success!
Soutas Financial & Insurance Solutions Inc.
333 W. Shaw Avenue Suite 106
Fresno, CA 93704
We are an independent firm helping individuals create retirement strategies using a variety of insurance and investment products to custom suit their needs and objectives. Investment advisory services offered only by duly registered individuals through AE Wealth Management, LLC (AEWM). AEWM and Soutas Financial & Insurance Solutions, Inc. are not affiliated companies. California Insurance License # OK48173. This material is intended to provide general information to help you understand basic financial planning strategies and should not be construed as financial or investment advice. All investments are subject to risk including the potential loss of principal. No investment strategy can guarantee a profit or protect against loss in periods of declining values. 1164620 – 12/21
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