Category: Financial and taxes in retirement
July 5, 2007 -- Most older baby boomers remember John Beresford Tipton, the "Millionaire" who discreetly awarded a million dollar check to some worthy individual every week on TV during the late 1950's. While people old enough to remember the show (over 55) would still be thrilled at such a gift, being a millionaire just ain't what it used to be.
One problem is that Inflation has deflated the significance of a million dollars, which has only 54% of the purchasing power it had in 1987 (source: Wall Street Journal). There are a whole lot more millionaires today thanks to inflation and prosperity. Another issue is that real estate prices have soared and become a significant source of illiquid wealth - for boomers fortunate enough to have significant home equity in hot real estate markets.
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Published on July 5, 2007
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Category: Retirement Real Estate
June 28 -- The latest in a steady string of depressing news for sellers of retirement communities continued this week. Sales of all types of existing homes and condos fell 10.3% in May from the year ago period, and median prices fell 2.1% (Source: National Association of Realtors). The worst news, for sellers, was that number of homes listed for sale increased to an 8.9 months supply. These increasing inventories were unwelcome for two reasons: a rising figure predicts slow sales ahead, and inventory levels rarely rise in May. Families with children often buy in this month so they can move over the summer.
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Published on June 28, 2007
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Category: Retirement Real Estate
June 26 -- It's every would-be real estate investors dream. A perfect active adult community property comes on the auction block in a distressed market - and you snap it up for hundreds of thousands of dollars less than its market value. As real estate auctions make a comeback these days more and more people - including baby boomers looking for a retirement condo or house in an over 55 community - are catching the auction fever.
In Riverside California this past May over 1200 would-be investors had their chances when 100 properties in that region were auctioned off. So how many realized their dream? According to a recent New York Times article, not many people came away with significant savings.
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Published on June 25, 2007
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Category: Baby Boomer Retirement Issues
June 22 - Fort Myers, Florida -- The logic is compelling, even though a bit unconventional. Sue Wininger, Marketing Director at Cypress Cove at Health Park Florida, recently stated in an interview with Topretirements the many reasons baby boomers should consider moving directly to a life care facility instead of making an interim downsizing step to a condo. "With our focus on wellness and the amenities that active adults want," Wininger says, "baby boomers can an experience a healthier life, which translates into a longer life." This enthusiastic and personable marketing pro also pointed out how moving directly to a life care facility helps people avoid the hassle of multiple moves and re-establishing new friendships and community ties.
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Published on June 22, 2007
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Category: Retirement Real Estate
June 15, 2007 -- Could more bad news possibly hit the real estate market that so many active adults are studying? A quote in today's Wall Street Journal regarding homeowners who are entering the foreclosure process is typical of recent fare - "rates for the last 2 quarters are the highest in the (Mortage Bankers Association) survey's 37 year history." Other bad news items in the last few days are that the number of homes for sale keeps growing (up 5% in May), and pending sales were also down in April.
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Published on June 15, 2007
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Category: Active adult communities
June 12- Every time we think we have heard about the most unusual type of retirement community, up pops another. The latest new idea is stargazer communities; developments geared for amateur astronomers. You don't have to be retired to live in one of these developments, but most of the people interviewed in the article were either of retirement age or were baby boomers fast approaching it.
The New York Times reported (June 8, 2007) on a number of astronomers who have turned their dream into finding a home in a place favorable for stargazing into a reality. People who enjoy watching the stars, it turns out, share several unique environmental prerequisites. First, they need an area that is dark, away the from bright lights of civilization that ruin the celestial view. Another is that when they watch the stars live, they tend
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Published on June 11, 2007
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Category: Active adult communities
June 6 - About the 5th time I was asked the question I finally caught on. The "question" comes up when someone finds out that I am associated with this site, obviously enough. They are usually a baby boomer thinking about where to live next, and they figure I must know the answer.
The problem is that I have heard about too many "best retirement communities", too many "top 10 retirement communities". Sorry, I just can't tell you your right answer - there are too many. You have to pick the one that is best for you. So that means you have to do some thinking about what's right for you - you have to answer the 16 questions in our free eBook: "The Baby Boomer's Guide to Selecting the Best Retirement Community". Only then will you know enough, and I can help with some "best" suggestions.
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Published on June 6, 2007
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Category: Active adult communities
Annapolis, Maryland - June 1, 2007 -- Topretirements and the magazine "Where to Retire" both rate Annapolis Maryland as one of the best places to retire - if you can afford to live there. The community has charm, history, a beautiful downtown, the U.S. Naval Academy, and plenty of drop-dead waterfront.
It is a great place to live, but according to the Washington Post, not everybody is happy about its reputation as a great place to retire. The main reason is because of the city's policy of trying to encourage retirement housing as a way to discourage overcrowding and having to build new schools.
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Published on May 31, 2007
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Category: Retirement Real Estate
The April figures for sales of existing homes are in, and the news isn't so great for sellers. April sales were down 2.6%, following a March drop of 7.9% from February. According to figures from the National Association of Realtors, April sales declined 10.7% from the year ago period.
While figures on sales of active adult and retirement community homes and condominiums are hard to come by, it stands to reason that the overall market weakness is also having a negative affect on this segment. But for baby boomers considering purchasing a new home, the news is probably positive. Continued pressure on sellers and greater inventories should mean price flexibility and better selection. Is the time to buy nearing?
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Published on May 29, 2007
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Category: Retirement Real Estate
May 19, 2007 -- For baby boomers trying to figure out whether this is the time to buy into a retirement community, the recent news is balanced. There is some good news, bad news, and neutral news. On the whole it seems like this is still a buyers' market, although no one can predict if the bottom has been reached.
On the economic side:
Good news: New unemployment claims are down for the 5th straight week (Labor Department)
Not quite so good: Consumer prices and leading economic indicators from the Conference Board's April figures are down slightly
Reassuring: Federal Reserve Chairman Ben Bernanke commented on the sub-prime mortgage problem that he "does not expect significant spillovers (from it) to the rest of the economy". He was cautioning Congress not to pass legislation toughening lending laws
Disappointing: Housing starts fell to their lowest levels in 17 years, according to the New York Times
Positive: New home construction rose in April
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Published on May 18, 2007
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