As more and more baby-boomers are nearing retirement evidence is showing that many are selling their homes and looking at downsizing options. This week the WSJ reported that to be the case. In fact they also reported that unlocking home equity can make a big difference when it comes to planning for retirement.
“Renting has both advantages and disadvantages for older consumers. On the plus side, renters typically enjoy a wider range of housing options, flexibility (a one-year lease is a short-term commitment) and the fact that building managers handle repairs, landscaping and snow shoveling. A big financial disadvantage for older renters, however, is that as rising rents take a bigger portion of a fixed income, there is no offsetting increase in equity like there often is when you own a home. And rental prices can double over a 25-year period.”
Additionally, in their 2016 Home Buyer & Seller Generational Trends Report, National Association of Realtors report that the median age of home sellers has risen to 54 from 46 since 2009.
Click here to read the full story on WSJ.com.
Click here to read the NAR’s 2016 Home Buyer and Seller Generational Report.
