Category: Retirement Real Estate
August 13, 2021 -- The median sales price of single-family existing homes rose in 99% of metro areas in the second quarter of 2021 compared to one year ago. And those increases were not small - there were double-digit price gains in 94% of markets measured by the NAR. Continued low levels of housing inventory, combined with record-low mortgage rates, have caused an increase in median sales prices for existing single-family homes in all but one of 183 measured markets during the second quarter of 2021. That is according to the National Association of Realtors®' latest quarterly report.
The median sales price of single-family existing homes rose 22.9% to $357,900, an increase of $66,800 from one year ago. All regions saw double-digit year-over-year price growth, which was led by the Northeast (21.8%), followed by the South (21.0%), West (20.9%), and Midwest (17.1%). Three of the hottest markets in the country showed price gains of more than 40% year over year: Austin (TX), Boise (ID), and Naples/Marco (FL).
"Home price gains and the accompanying housing wealth accumulation have been spectacular over the past year, but are unlikely to be repeated in 2022," said Lawrence Yun, NAR chief economist.
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Published on August 13, 2021
Comments 14
Category: Best Retirement Towns and States
August 10, 2021 - It is a question a lot of people nearing retirement age have - what is the best state and town for retirement? While it is a great question, the answer is not that simple - it depends on what you are looking for. Do you mean the best retirement state for taxes, the state with the best climate, the one that offers the lifestyle you want to live, or the place with the lowest cost of living, etc. Until you know what you are looking for, it is a hard to get at the right answer. (Note: This is an update to our 2018 article on "The Best 10 States for Retirement", which generated almost 100 interesting comments).
One good way to determine the best state for retirement is is to look at which states retirees are moving to. SmartAsset.com analyzed US Census Bureau data to explore which states have the highest retirement age net migration - the number of people age 60 and over moving into a state minus the number moving out. In effect, it is a measure of how people voted with their moving vans. Here is what SmartAsset came up with when examining data from 2019: (T indicates a state with no income tax)
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Published on August 9, 2021
Comments 42
Category: Baby Boomer Retirement Issues
Note: This article has been updated to include vote totals as of August 10. However, you may still take the poll and the results will continue to change. August 4, 2021 — There seems to be more than a good natured rivalry going on with the baby boomer generation vs.
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Published on August 3, 2021
Comments 4
Category: Active adult communities
Updated Sept. 2023 -- In the real world not retiree is looking for a community where the list of amenities goes on and on - big clubhouses, fancy golf courses, pickleball pavilions, hundreds of clubs, activity directors, marinas, etc. Although the amenities are what attract many retired people, many people just simply don't want these extras, especially if it means paying for something they don't tend to use.
That's exactly what Pamela was looking for a few years ago when she wrote to Topretirements with this request: “Please consider writing an article for people who don’t want to live in an amenity-rich community, and how frustrating it is trying to buy a home because that’s all that is being built? I’d love your perspective on this dilemma and any suggestions you may have." Pamela wrote a lot more to explain her issue and asked for input from us and her fellow Members. Wow, then, the Comments rolled in - 60 in all! (Here is the link to that post). We are going to include a representative sample of those Comments here, along with Pamela's final thoughts after seeing what everyone one on this site had to say. In the end her question provided one of the most interesting discussions on this site of all time. We hope you enjoy it, and that it generates even more suggestions!
Amenity-lite suggestions
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Published on August 1, 2021
Comments 14
Category: Singles and Retirement
July 27, 2021 — As many Members have reminded us over the years, it is not safe to assume that everyone entering into retirement is part of couple. Many folks are single by choice, others by divorce, not to mention those who have lost a partner or spouse to disease…
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Published on July 26, 2021
Comments 13
Category: Active adult communities
July 21, 2021 - So you managed to get lucky. It looks like you might win the bidding to buy that condo, or a home in an active adult community. But before you submit the winning offer and break out the champagne, here are 4 things you need to do first. Your new community's financial picture deserves some extra looks, particularly in light of the collapse of the Champlain Towers South condo building in Surfside, FL. A community might look healthy, but until you have examined its financial reserves you really don't know.
This week we listened to an insightful interview on NPR with Robert Nordlund, founder and CEO of Association Reserves. An expert on reserves and the financial health of communities, he lists four things things you need to do before you invest your hard-earned money in a condo or home in a community. We have added some of our own commentary to his questions.
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Published on July 21, 2021
Comments 7
Category: Best Retirement Towns and States
July 18, 2021 -- Some people thinking about retiring to Florida might worry that they won't be able to afford it there. But the good news is that the Sunshine State is so big and has so many regions that it has plenty of less expensive places to retire. Central Florida is one of the most affordable regions within the State, where home prices are often well below Zillow's national Home Value Index of $293,349 and Florida's Index of $297,390. Home to hundreds of thousands of retirees, the area is known for its many lakes and lakeside living. The area is filled with active adult communities, many of which are quite inexpensive.
In this article we will highlight several cities and towns in Central Florida where home prices are below Zillow's Florida Home Value Index. We will include a few more towns that are at or slightly higher, because they are exceptionally nice places to retire. Unless otherwise noted, home prices are from Zillow. See map below:
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Published on July 18, 2021
Comments 5
Category: Active adult communities
Note: We are once again grateful to Joe West of the Community Associations Network, LLC, for helping us research this topic.
July 10, 2021 -- The collapse of Champlain Towers South near Miami, built in 1981, has made owners and buyers nervous. The dream of living near the ocean has been interrupted by the fear that some buildings might not be safe, and that owners' investments could be in danger. It also highlights the problems that condo, community, and home owners associations (HOAs) face all around the country. Some 70% of homes and condos in Miami were built prior to 1970 - more than 50 years ago. Since then they have been exposed to all kinds of problems like those at Surfside - salt air and salt water incursions, rising water tables, aging concrete, and older building codes. The problems are worse along the coasts, but, like us baby boomers, even buildings far inland are not exempt from the vicissitudes of age. And who are the people who are going to have to deal with these expensive, highly technical problems - you and your condo board!
The causes of the Surfside collapse and the actions of its condo board members have been a staple of discussion in the news. The problems with the building were well known for a long time. After great struggles and almost a complete turnover of its board members, a $15 million plan was approved to correct water incursion and corrosion issues in the 167 unit building, although work had not started on it. Board members and residents fought over the expensive plan, which was going to represent a hardship for many owners. Some experts believe even those repairs might have too late, and still not have prevented the building's collapse.
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Published on July 9, 2021
Comments 5
Category: Health and Wellness Issues
July 7, 2021 -- Not so long ago the two most common types of supplemental medical insurance for retirees were employer sponsored plans and Medigap insurance. Medical insurance for retirees is increasingly rare, with very large corporations and governments about the only employers providing it. Medigap plans, which cover additional expenses over and above their Part B (doctors and other medical) coverage insurance, are being eclipsed by the increasing popularity of Medicare Advantage plans (Part C). Run by insurance companies and funded by subsidies from the government, Medicare Advantage has doubled its enrollments in the past decade.
The main reasons for Medicare Advantage's increased popularity are their low cost and extra coverages. According to kff.org, about 60% of Medicare Advantage enrollees pay no premiums, and another 34% pay less than $100/month. Advantage plans also usually offer a wide number of other coverages not available under Medigap policies. For example, about 3/4 of Advantage plans include vision, dental, fitness, over the counter drugs, and hearing benefits. Nearly all (90%) Advantage plans include prescription drug coverage.
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Published on July 6, 2021
Comments 29
Category: Retirement Real Estate
July 3, 2021 -- Existing home prices hit a record high in May at a median of $350,000, according to the National Association of Realtors (NAR). A shortage of inventory and building materials, low interest rates, flush and frustrated buyers, and pent-up demand are some of the reasons why. Everyone seems to have a tale to tell in this crazy, red hot market: houses that sell the same day they are listed, multiple competing bids, offers of $100,000 or $200,000 more than the asking price, even huge cash payments to walk away to allow the next buyer in line to get the property. The Case-Shiller Home Price Index for April confirmed the rising market, finding that prices rose at their fastest pace ever, an amazing 14.6% year over year.
So what's next for sellers?
Baby boomers and retirees are more likely to benefit from this hot market than younger people, who are often first time buyers. That is because we usually have something to sell, and our homes are suddenly worth a lot more than they were 18 months ago. So if you are retired or about to retire, this might be the ideal time to step away from your existing home and move to one that is more conducive to your desired retirement lifestyle. You will most likely get top dollar when you sell - but what will your next move be? We were very interested in a new survey by Coldwell Banker conducted among all homeowners (not just retirees). It seemed to indicate that people are using the hot real estate market to dramatically change their living situation. Their survey found that about 20% of homeowners hope to sell their current home in the next year. Of those, about six out of ten plan on relocating to a different city or state. Does that describe you?
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Published on July 2, 2021
Comments 9
