Some retirees may find that renting is a better option than buying a house. Renting in retirement can be a good option for some retirees.
Many Americans imagine retirement as the time when they will be able to retire in a home with a mortgage that is paid off. Renting is an option for some retirees who have found that renting has been a better choice than buying a home.
Renting in retirement is a great option for many reasons.
1. Get a house that suits your needs
Renting a home or apartment allows you to choose one that meets your needs.
You may decide that a smaller house is more practical if you purchased your home when you had a large family. Since everyone is gone, you don’t need all the extra space. It may be time to downsize. It’s more common than you think. 10 % of buyers aged 67-75 cited downsizing for their primary reason to move in 2021.
Physical challenges can make it difficult for us to navigate a house that was once comfortable as we age and approach retirement. Some people may find it difficult to climb stairs or clear a snowy drive. Renting a one-floor house could be the answer if you’re having accessibility problems in your home. This will reduce the risk of falling.
2. You are moving soon
Renting allows you to move more quickly. It is particularly true for moves out of state. Renting allows you to test out a town’s culture before committing. You don’t want to commit to a location that isn’t right for you.
Renting in retirement can also help you save money, especially if you’re planning to move every few years. Renting is a good option if you plan to move several times in the near future.
It might be time for you to move closer in order to better connect with your family.
Most retirees prioritize spending time with their family. Many grandparents move closer to their families in order to spend quality time with them. Retirement allows people to do what they enjoy.
According to the National Association of Realtors, Baby Boomers aged 67-75 accounted for 12 percent of the 2021 buying pool. Moving was primarily due to retirement, the desire to move closer to family and downsizing.
Consider moving closer to your children’s cities if you have more than one child. This would not only allow you to experience new things, but also travel more comfortably. Retirees can travel more freely because they don’t have any obligations, such as mortgages.
3. Gain more location freedom
Renters have a great advantage in flexibility.
Flexibility means more choices for older adults than if they were homeowners. When you’re not financially bound, traveling becomes easier. You can also spend more on things that you like by reducing your costs. It is a wonderful experience to be free from significant financial obligations.
You can move out at any time, as you’re not locked in. You can’t be stopped from moving by your landlord, but there may be a charge for breaking the contract. Many retirees prefer this small inconvenience to the alternative of selling their home. The MLS process can take months to complete, and this can be a delay if you are in a hurry. Renting can relieve you of the financial burdens of home ownership and allow you to enjoy a stress-free life. Renting during retirement allows you to move whenever you want, as long as you find another rental.
4. Home repairs and maintenance: Avoid them
Renting is a great option because you won’t need to fix anything yourself if something breaks. Renters don’t have to pay for major repairs, such as replacing a roof or repairing faulty pipes.
The landlord will charge you a fee, but the cost is usually very small compared to your total repair bill.
Most retirees don’t miss the tedious chores that come with owning a house, like lawn care, gardening, or updating light fixtures. Renting will eliminate all those headaches, as you won’t be the owner of your rental.
Retirement is the time to relax, and focus on what matters most. Home ownership can be stressful. Unexpected repairs and maintenance are a major headache. Stress can be harmful to your health in the long run. Many health issues are caused by stress in adults.
Renting instead of buying can eliminate all the stress. Renting provides retirees with security as their neighbors and staff are able to keep a watchful eye on any health or safety issues. Being part of a group has many advantages, both in terms of physical and mental well-being. Renters can feel more at ease when they have a supportive community.
5. Your home equity can be used to fund your retirement.
Renting instead of selling your property can be an option if you are unable to pay for living costs but the home is worth quite a bit.
Sundae can help retirees who want to tap the equity in their home. Sundae is a great alternative if you are short on time or don’t want to spend the money to prepare your home to be sold through the MLS. We can sell your home quickly and according to your schedule.
Call us and we will send you a market expert to help you calculate the value of your house. What’s the best part? Sundae is not required to be used after the event. We’ll gladly provide you the resources to help you achieve the best result if you choose to take a different route.
Find the best solution
Renting in retirement has many advantages, but it is not for everyone. Only you can decide what is best for yourself. Renting, buying, or joining a group are all options for retirement. Retirement can be a very important chapter of your life, full of new opportunities and transitions. Spend today, the first day of your resting life, doing what you enjoy most.