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Sailing Away in the Evening

Retirement is not what it was in your parents' day, and the chances are good that you will be retired longer than they were.  If you retire at age 55, you may also eventually be retired for a longer period than you spent in the workforce.   With all this extra time, many pre-retirees are seeking a new home for retirement, a place where they can enjoy life in new ways, whether it be in a waterfront community, in a golf Mecca or in a mountain retreat.  Where should you spend your next forty years?

Not Sure Where to Retire?

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Why Do Retirees Buy Second Homes? - April, 2008

Just when many people are thinking of retiring and planning to simply their lives, others are planning to buy a second home.  Why?  For many retirees, a second home can offer a way to stay in a comfortable and familiar neighborhood and at the same time offer an opportunity to start out on a new adventure in a new home in a new destination.  Winters may be spent with current family and friends while summers many be enjoyed in a warmer climate with new-found friends.   

Of course, supporting two homes can be a financial burden, particularly if one, usually the new one, is in a resort town.   Anyone considering buying a second home ought to try renting one first, just to test the waters to see if hopping between two residences is as glamorous as it sounds.  If it seems a plausible idea, then renting out the second home to partially cover the mortgage is a way to keep costs down, although being a long-distance landlord also has drawbacks.  Generally, second homes will add to the cost of retirement but may be worth the cost for the chance to enjoy the best of two destinations.

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