A Case for Selling Your House to Rent in Retirement
Better horizons await those who do…
On the surface it may seem like home-ownership makes sense when you’re retired. However, many retirees can attest that this is not necessarily the case. In fact, there are key reasons why selling and renting is a preferred option for certain individuals and households. Let’s review.
3 Reasons Why Retirees Should Consider Selling Their Home to Rent Instead
1. You Need a Large Lump Sum to Enjoy Retirement
Some retirees in Winnipeg MB live on limited month-to-month payments such as Canada Pension Plan (CPP), annuity payouts, or other government/union plans and investments. This money may cover monthly expenditures, but it does not offer the larger injection of cash you need to actually enjoy retirement. By selling through our service you gain an immediate lump sum of money to put towards whatever you choose – be it for travel, entertainment, or the simple comfort of having a hefty cushion in your bank account. In this case, you let monthly income (Canada Pension Plan (CPP), annuity payouts, etc.) cover your monthly rent while you enjoy the financial fruits of your home sale today.
2. Monthly/Annual Cost Burden of Home Ownership
Owning a home outright isn’t as financially burden-free as you through it would be prior to retirement. There are over-inflated property taxes and maintenance costs that when spread out can be just as income-draining as you thought paying rent would be – only there is work involved (i.e. maintenance and repairs). If you find that the annual cost of owning a home is near, equal to, or greater than what you would pay as a tenant, it’s definitely time to consider selling.
3. Your House Isn’t Suitable for You Anymore
This is a common problem for retirees, especially empty-nesters. When you first purchased your home you may have envisioned decades of enjoyment. However, as the years passed and/or kids (where applicable) left the flock you may have found that the property was no longer suitable for your lifestyle.
It’s not just about having too large a home as a retired individual or couple, as the home itself may have become somewhat unsafe in your senior years. For example, climbing up and down stairs every day can feel like a tremendous burden. But it goes beyond that. There are other problems common to older homes that can actually threaten your health and safety. For instance, your old house may have had a few water damage issues over the years. While these may have been “fixed” an unhealthy mold problem may persist. In addition, the home’s construction may include asbestos or lead – both of which have a disastrous impact on the health of occupants. View more on how your old house may be making you sick (click here).
Long story short, correcting the things that make your home unsuitable for your senior years can cost a small fortune in renovations, retrofits, and repairs. Instead of giving away a large lump sum of cash to upgrade the house to suit your retirement, you can receive a cash injection and find a more accommodating rental to live in and enjoy.
While selling in a traditional manner (i.e. through a Realtor or agent) can be a lengthly and cumbersome process, you have the option to sell fast if you want it. 5 Day Cash Offer will buy your Winnipeg home for cash at fair market value and within the week of our agreement to proceed. That said, we know you have questions and we’re more than happy to hear them out. Let’s begin with a friendly noncommittal conversation about what we can do for YOU. Call 204.222.0022 to chat.