Attention All Baby Boomers: are you planning on retiring? Great news, your home equity can actually help you achieve your goal! Whether you have just retired or are thinking about retiring, you may realize your current home may not suit your new lifestyle. It may be time to sell.
According to research from the Retirement Industry Trust Association, the typical retirement age is 65 years old, and most homeowners have built up enough home equity to help with this next phase of their lives. It may be time to downsize, move closer to family, or purchase a home in your dream destination that is less expensive and with a better climate.
Your current home equity may help you achieve that goal. According to the National Association of Realtors, “A homeowner who purchased a typical home five years ago would have gained $125,300 from just price appreciation alone.” Of course, if you have been in your home much longer, that number can be significantly higher.
As always, there can be some risk, given home equity is such a big part of someone’s net worth and your biggest asset. It’s best to consult with a trusted real estate professional who can help determine the best options for you as you move into the golden years of retirement. Please feel free to contact my team and I with any questions so we can help you make an informative decision in today’s market.