But when retirement time comes, rethinking that dream could be in order. Sometimes renting a house or apartment is the better option both financially and in terms of the retiree’s changing lifestyle and health, says Eric Kearney (www.erickearneyadvisor.com), an investment advisor for Retirement Wealth.
“When people plan for retirement, they focus on things like how much they have saved, how much Social Security will pay, and whether they have pension,” Kearney says. “But as you get older, you also need to think about such issues as whether you can keep mowing the lawn or handling other day-to-day chores that homeownership requires. If you must hire someone to do them for you, how much will that eat into what may already be a tight monthly budget?”
The truth: There’s no answer that will fit everyone’s situation, he says. So retirees, or those approaching retirement, should weigh their personal pros and cons.
“There’s a lot to think about,” he says. “Should you sell the house you raised your family in and downsize to something more suitable for just the two of you? If you’re planning to move to somewhere else in the country to enjoy your retirement, is it more prudent to buy in that new location ...
