Tag Archives: Retirement

Advances in Senior Housing Meet Demographic Shift

3-11-seniorlivingAs the demand for age-restricted senior housing continues to grow nationwide, it’s certain to influence more than just the new home builders whose bread and butter depends on paying attention to such trends. It’s also likely to influence the character of neighborhoods as a whole, Sapphire’s included.

The numbers tell a story that’s been written about for years. As Sapphire’s baby boom generation joins their cohort’s arrival into retirement age over the coming decades, they will become part of the wealthiest generation of senior home buyers in history. Senior housing developers are very well aware of that fact, but its full impact has only really begun to be felt recently. One evidence: the National Association of Homebuilders reports that starts of age-restricted homes nearly doubled between 2012 and 2013.

Part of the reason may be cultural—but it’s also possible that improvements in health and longevity could be involved. Today’s older generation views senior housing through a different lens than did their forebears, which means that new senior housing communities are taking on a look that’s considerably different from retirement neighborhoods of the past. There are multiple influences that are shaping the new senior housing mold. Among them—

  • Many senior citizens continue to hold jobs. Earlier forecasts of dire results from predicted shortfalls in retirement savings don’t seem to be working out that way, since a great number of seniors are showing marked determination to put off full retirement indefinitely—regardless of financial need. Delaware’s Benchmark Builders reports that more than half of the residents in their age-restricted communities still work at least part-time, a trend being echoed throughout the nation. Developers are moving senior housing out of the Sun Belt and closer to urban areas to facilitate easy commuting (some are even incorporating office facilities as part of resident amenities!).
  • A number of housing projects are being designed to provide a patchwork of age-specific sections. While grandparents may enjoy living on a street or block devoted to neighbors in their age bracket, in the best of all worlds, they also would choose to be close to children and grandchildren. Some new housing developments are setting aside sections for young families close to senior housing blocks.
  • Options for active older home buyers are crucial. In 1960, activity choices in many retirement communities began and ended with shuffleboard. Increasingly, senior housing projects are aimed at buyers who have no intention of pursuing a sedentary lifestyle. They look for active environments, with walking trails and easy access to amenities beyond the community. Indoor walking tracks, lap pools, hiking and biking trails and exercise equipment are becoming must-have features.

Today’s typical senior as part of a financially powerful demographic, is changing the look of retirement neighborhoods. But independent thinking has long been a notable characteristic of the boomer generation—so it also follows that not every Sapphire senior will make that lifestyle choice.

Senior or not, I’m always standing by to further your next residential move!

Retirees Buying a Home in Sapphire Face Fewer Unknowns

2-13-retirementOne of the advantages of reaching retirement age is that your needs can be much clearer to gauge than they were in the past. When it comes to planning for buying a home in Sapphire, for instance, you no longer have to worry about many of the contingencies that created vast unknowns earlier on.

When we were at the starting line in careers and family life, we couldn’t know exactly where our career would send us, so the level of certainty we had when we bought our first house was sketchy at best. Likewise, the shape of our family, needs of our children (and even those of our parents) loomed as giant question marks. We might have had definite ideas about what we wanted the future to bring, but sooner or later, most of us learned that what happens is up for grabs. In the words of the immortal philosopher John Lennon,

Life is what happens to you
While you’re busy makin’ other plans…

But as more life experience builds, the better we get at predicting what the future holds. But that’s a skill that is only useful if we take what we now know and apply it. As retirement nears, here are four areas where most of us should be better able to make much better informed decisions when it comes to buying a home in Sapphire:

1. Choose an Appropriate Size

Many couples seek large houses early in life because they expect to have children. Once the next generation has vacated the premises, though, staying in a home that’s larger than necessary means blown money—not to mention wasted time spent cleaning unused rooms. Retirees may be slow to recognize their new downsizing option: buying a home that better correlates with current needs. They may even want to consider a condo or apartment if minimal upkeep will free up income to direct toward more enjoyable activities.

2. Consider a Single-Level Home

Most people experience mobility issues as they age. Some solve the problem by installing expensive devices in their homes, even though they could deal more directly with those problems by moving to a home configured to present fewer challenges. For some people, moving to a simplified home lets them live independently for many additional years–for example, a single-level home without a front porch eliminates stairs entirely.

3. Find a Convenient Location

At some point, retirees may reluctantly decide that they don’t feel safe driving their cars. If anyone experiences warning signs of unsafe driving, it’s prudent to give up the keys before an accident forces the issue. This causes fewer problems when a retiree has chosen a convenient location. It could mean living close to stores, public transportation—or near relatives who can help with everyday tasks.

4. Stay under Budget

Retirees need to take seriously realistic budget expectations, since it’s usually true that they will have less money coming in than heretofore. An inelastic income may take some getting used to—but knowing what’s coming will make intelligent planning possible.

When it comes to locating and buying a Sapphire home that fits your specifications, I hope you will give me a call to discuss the current crop of appropriate available properties!

When Lake Toxaway Homeowners Consider Buying a Second Home

12-31-2ndhomePeople approach the whole idea of owning a second home from a hundred different perspectives simply because a second home can answer so many different purposes. If you are a Lake Toxaway homeowner at the stage in life where making retirement plans is becoming a more immediate imperative, you might want to buy a second home as a vacation destination—but one which is also a tryout for your family’s future center of operations. Those who have spent a good part of their lives in cities sometimes seek a second home in the mountains or at the shore as a restorative refuge. People living in less crowded environs might crave a pied-à-terre for proximity to a city’s cultural riches. There really can be a hundred different reasons (and that’s not even counting all the financial ones)!

Once you begin to seriously entertain the notion, it becomes evident that deciding on which of many possible directions to pursue will involve weighing the tradeoffs each presents. In addition to an opening a conversation with the Lake Toxaway real estate professional whose advice you’ve come to trust the most, some of the main points you will want to consider—

  • If the second home is going to serve even temporarily as a weekend getaway spot, then buying within reasonable driving distance may be more important than you might assume. Keep in mind that the drive (or flight) will grow steadily less interesting as time passes.
  • In most instances, a second home will be occupied by members of your family only on a part-time basis. This brings up a number of issues—among them, insurance. Vacant properties present a different profile to insurers than do homes that are occupied most of the time. Hazard insurance tariffs could also differ from what you are used to (especially in flood-prone areas). Investigating insurance coverage and costs early on in your search will help you to avoid surprises.
  • You should consult your tax expert for details, but as a general rule, if the home is not rented out as a business proposition, you’ll likely find that you are able to deduct mortgage interest and property taxes on your Federal tax return. Then again, if you are thinking of renting the house out for more than 14 days per year, rental income is taxable. In that case, though, you’ll be able to use deductions for expenses, such as insurance, maintenance, professional fees, and sometimes even depreciation. Each situation will be different—again, your tax professional will have the relevant answers.
  • Financing a second home is similar to financing your main residence. You are likely to need a down payment of 10% to as much as 30% in some cases. If you will be drawing on the equity in your current home, it’s only prudent to be able to retain a reasonable amount of reserves for unforeseen emergencies.

Many people buy a second home in anticipation of retirement. If that is the case, think of factoring in the availability of quality medical and support services in your search areas. A remote cabin in the woods may seem appealing now, but as a retirement venue, maybe not so much! Thinking about the long range is never more important than when you are entertaining the purchase of a second home. I’m here to help clarify those issues, as with all your other Lake Toxaway real estate need.

Buying a Home in Lake Toxaway: Retirement Myths Abound

12-10-retirementThat housing needs change as people get older goes without saying. For Lake Toxaway Baby Boomers, the “getting older” concept has gradually morphed from the distant abstraction it seemed in the 60’s and 70’s to a more immediate concern. And of all the decisions that will have the most impact on those nearing their golden years, buying the right Lake Toxaway home—one that makes the most sense for the future—tops the list.

Boomers have heard and read much advice about buying a home; advice having to do with downsizing, mobility issues and the like. Most of it is cautionary…and not very cheerful. But suddenly weighing into seniors’ “buying a home” deliberations is a contrary point of view: one that many of them have apparently begun to suspect on their own. It’s news that could be of considerable importance, not only for their own age group, but for younger adults as well:

Growing older doesn’t seem to be nearly as dire as everyone has been led to believe.

Last Monday, “Why Everything You Know about Aging is Probably Wrong” led The Wall Street Journal’s special insert on planning and living “in the new retirement.” Its lead article dissected the most common preconceptions Americans have about aging, including the expected declines in mind, body, productivity, and stereotypes of growing loneliness and depression. “Everyone knows that as we age…life becomes less satisfying and enjoyable,” the Journal reported…followed by what a wide range of research shows: “Everyone, it seems, is wrong.”

Among the scientists quoted was the former director of a Baltimore study that has been underway for three decades. Of the widespread notion of the aged as being depressed, cranky, and irritable, etc., he says they constitute no more than 10% of the older population. The remaining 90% are “not like that at all.” Another Stanford study showed that as participants aged, their moods improved!

This may or may not change how we approach buying a home for our latter years, but to the extent that it’s a 180-degree reversal from what most of us have always believed about what to expect next, it should warrant at least a thoughtful examination of how we choose.

  • Common wisdom: Downsizing. Baby boomers who stay in large houses are probably spending more money than necessary; cleaning unused rooms may be too physically taxing, etc.
    Second thought: “Extra” rooms may be needed to accommodate new hobbies, visiting children and grandkids.
  • Common wisdom: Mobility. Must be a single-level home; mobility issues are paramount.
    Second thought: Stairs provide regular mild exercise; greatest threats to physical well-being are inactivity (and over-exercise).
  • Common wisdom: Budgeting. A budget showing exactly how much can be afforded when renting or buying a home is critical. It should include taxes, insurance, maintenance, and other expenses.
    Second thought: No research changes this one: buying a house in retirement should always be based on solid budget realities.

Whether you’re retirement-bound, buying your next Lake Toxaway home sets the table for the coming years in so many ways it’s vital to base your selection on reality rather than myth. Once you’ve set your course, I’m standing by to help find your dream house in all the many ways that I can put at your disposal.