There are so many things in life that a person, who has reached the age of retirement, may need to plan and consider once he or she stops working. And one of this is the place to call "home."
If a senior is to think logically, downsizing his place of residence should be a priority. An obvious reason is for him/her to become free from maintenance and other financial obligations. Moreover, with the children living on their own already, choosing a small apartment or condominium unit, which is more manageable, will be a very wise decision.
However, a recent survey has revealed that many Americans who are nearing retirement have other things in mind. The study was conducted by Merrill Lynch, the Wealth Management Division of the Bank of America, and Age Wave, a consulting firm, among 3,600 respondents. The results generated the following figures:
- As a great number of Americans are about to retire, many of them look forward to having a new home
- 64 percent of them will most likely move at least once. For those who have had a change of place, only a half decided to downsize, while many want to get a bigger space
- 49 percent of these retirees claim they did not downsize and 30 percent ended up in bigger homes.
Their reasons for choosing bigger houses have been categorized as well.
- 33 percent want to have a bigger space to accommodate their family
- 20 percent want their other family members (e.g., married children) to move in with them in their new home
- 19 percent longed for a prestigious home
- 16 percent want to have bigger room for visiting friends.
A financial service representative of MetLife Premier Client Group, Brian Beasley, however, warns retirees to think well before getting a larger house just because they want their children to live with them. As Beasley explains, it does not follow that what parents want may be the same thing that their children have in mind. Some might just prefer to have a vacation with them.
Beasley also recommends that seniors consult with lawyers, financial advisers, and other real estate or estate planning professionals, in order to make a good analysis before buying a new home. Beasley says this is to ensure that the senior will not spend his/her funds unwisely and that his/her basic needs are still met.
