With its warm climate and beautiful beaches, Florida remains a popular destination to retire in.
If you are still in the workforce, you do not need to wait to start shopping for your home for retirement. In fact, for a number of different reasons, shopping for your retirement home now while you are still working may be more beneficial than waiting until you are closing in on retirement or are already retired.
Shopping for Your Retirement Home in Florida
Following are a few of the advantages of shopping early for your home for retirement in Florida.
- Map out your future. One benefit of starting this process while you are younger is that you have more time to visualize what you want and plan for that future. The practical benefit is that you are more likely to be successful if you start planning and moving ahead with those plans early. You have more time to deal with any pitfalls or obstacles that crop up, as well as to identify opportunities that you might have missed if you waited to shop for your retirement home later. But mapping out your future while you are younger also can help you to look forward to your retirement with a positive mindset. You may discover those emotional benefits are as important to you as the practical benefits.
- Qualify for a competitive mortgage. While it is possible to successfully buy a home after you are retired, qualifying for a competitive mortgage usually it is easier beforehand since you have your income from work contributing to a favorable debt-to-income (DTI) ratio. So, by shopping for a home for retirement during your working years, you may be able to save money on your mortgage. They could add up to thousands of dollars over the lifetime of your home loan.
- Build equity in your home—which you can borrow against later. Another benefit of buying your retirement home earlier when possible is that you can begin paying off your mortgage sooner. That has a couple of benefits. For one, it means less to worry about later in terms of mortgage payments because you will have fewer of them to make. For another, it also means that you may have a significant equity in your home heading into retirement. This is a prerequisite for qualifying for a reverse mortgage during your retirement years. If you need to pad your retirement income, you can borrow against your home equity using a reverse mortgage. It is an affordable and flexible lending product that allows you to use the money in any way you see fit. Additionally, you do not need to worry about a reverse mortgage coming due until a maturity events such as the death of the last borrower or the sale of the home. You can stay in the home for as long as you want.
- You are not on a fixed income. Even with a suitable home inspection, it is easy to miss issues which may only become apparent after purchasing a property. It is easier to deal with the unexpected when you still are working. You’re bringing in more income, and you may have some useful options such as the ability to work overtime if your employer allows it. But once you are retired, you are likely on a fixed income. That can leave you digging into your savings to make a repair or an improvement to your home. That could result in more financial strain than you are expecting. By purchasing a home now, you can ensure that it is in excellent condition and able to meet your needs in retirement while you still have the financial flexibility to do so.
- Get used to the costs of owning your home for retirement while you are still earning. Finally, one more advantage of buying your home for retirement while you still are in the workforce is that you can get used to budgeting around your mortgage and other home ownership costs before you are on a fixed retirement income.
Buy Your Retirement Dream Home in FL With a Competitive Mortgage
Whether you are planning to retire in Cooper City, Davie, Pembroke Pines, or elsewhere in Florida, Premier Lending Corp can connect you with a competitive home loan that will serve your needs now and during retirement.
Ready to get started? To schedule your consultation, please give us a call at 954-840-8811. We look forward to helping you meet your financial goals for owning a home during retirement.