5 Options Where to Live When You Retire

5 Options Where to Live When You Retire

Where to Live When You Retire

When you reach retirement, deciding what is your best living arrangement is an important factor to determine.  There is a number of options to consider when choosing where to live when you retire.

Sure enough we all want to have that ideal retirement home, waking up to the sounds of nature, listening to the waves breaking while sipping on a cup of tea, afternoon siestas, you know what I mean.

There are a number of factors to consider when deciding on the best place to retire. Below is a list of the best 5 options on where to live when you retire.

Home Sweet Home

Let’s be honest, the cliché “there’s nothing like home” never gets old, even in your retirement years. So this is the reason that I have put this option at the top of this list. Now that you have retired and settled your mortgage your own is your own home.

When you retire your priorities change as well, you might not even realise that your home is too big now because your children have moved out and there are empty rooms not being used anymore or you might have chosen your home to be close to your workplace, but you are now retired.

The pros:

  • Independence – You have the comfort of your own home.
  • Safety and Security – You tend to feel safer and more secure in your own home.
  • No Landlord – There is no contracts signed with a landlord and therefore you live under your own rules

The cons:

  • Cost of Security – The cost of security can become an issue.
  • Maintenance and Repair Costs – Looking after and maintaining your home; it could become costly.

Taking all of the pros and cons into consideration, especially with regards to maintenance, you can consider selling your bigger home and buy a smaller home therefore lowering your maintenance costs.

Another option would be to sell your home and buy a home in a safe secure location, for example, buy a townhouse, buy a house in a secure village, etc.

Sharing is Caring

If you live alone or are struggling with the high rent or maintenance costs, sharing a home is a good option to consider. This option depends a lot on your personality.

The pros:

  • Maintenance and Repair Costs – The sharing of maintenance and repair costs is a big advantage.
  • Companionship – You are not alone and have a companion. This is important because loneliness can lead to depression
  • Safety and Security – Living with someone increases your own safety and security. For example, when you are away your companion is at home looking after the house.
  • Sharing Chores – The sharing domestic chores as well as sharing the cooking.

The cons:

  • No Privacy – Living with someone else loss of personal privacy
  • Major Adjustment – Sharing a home with somebody leads loss of your own private space which can take some getting used to.

Rental Living

This depends a lot on your personal circumstances and might be the only option as you might not own a home of your home when you retire. It could also be your personal choice to sell your home and rent a home.

The pros:

  • No Maintenance and Repair Costs – There are generally no maintenance or repair costs as this is the responsibility because the landlord is responsible for this.
  • Flexibility – If you want to change homes you can by just giving notice to the landlord.
  • No Capital Risk – If your home’s investment value drops you don’t have to worry about the equity risk of the home being sold below what it was bought for.

The cons:

  • Increases in Fees – Most leasing contracts have an annual increase clause on your rental fee.
  • No Pets – A lot of retirees love pets and your landlord might not allow pets onto their property.
  • Maintenance and Repair Issues – Your landlord might not maintain and look after the property very well.
  • No Decorations – You have to consider the fact that often you can’t decorate the home as you would like it.

Old Age Homes

Also called an “old people’s home”, although most people will think of it as a nursing home which it isn’t, it is a multi-residence housing facility for the retired elderly.

The pros:

  • Companionship – Living with other retired elderly people gives you sense of constant companionship.
  • Medical Care and Facilities – Old age homes offer medical care and medical facilities.
  • Entertainment – Most old age homes provide entertainment and library facilities to keep you busy.
  • Safety and Security – Living within a community makes you feel safe and secure.
  • Healthy Lifestyle – They provide you with well balanced meals ensuring you have a healthy life.

The cons:

  • Fear of Depression – Loneliness and depression can become a problem as you are away from family and friends.
  • Waiting List – There are usually long waiting lists because of their high demand.
  • Small Living Space – The living spaces are generally small and there’s a possibility of sharing that living space.

Retirement Villages

In recent years retirement villages have grown in popularity as this option gives retirees the convenience of having support facilities at hand combined with all the advantages of independence of living in your own home.

The advantages of a retirement village outweigh the disadvantages in my opinion.

The pros:

  • Independence – You have the luxury of living in your own home.
  • Support – You have the reassurance and peace of mind knowing that you have the support on hand in case you require it, for example, frail care and medical assistance.
  • Maintenance and Repair – You don’t have to worry about maintaining or repairing your property as these costs are usually included in your regular service charge/levies.
  • Safety and Security – There is usually a high level of security in retirement villages.
  • Facilities – Many villages include prepared meals, restaurants, libraries, gyms/health clubs, hairdressers, nursing homes, etc.

The cons:

  • High Fees – Service fees/levies can be very high so you need to make sure that your carefully check what is included in these charges.
  • Fear of Depression – Loneliness and depression can become a problem as you are away from family and friends. In most villages there are set hours that children can visit you.

Final Thoughts

Deciding what is the best living arrangement for you is a very personal matter. You need to do all the research you can on the different options available to you so coming back to this page will serve you in good stead when making that final decision on where to settle down on your retirement years.

Also referring this page to your elderly friends and family will help them greatly in understanding the different options that they have as most of them might be unaware of all these options.

 

 

 

20 thoughts on “5 Options Where to Live When You Retire

  1. I never really put much thought into where I would live when I retire. This was an eye opener. Now I have to start thinking about that. Good article. I am a little ways from retiring but the options you have laid out with the pros and cons is very helpful. Thank you.

    1. Hello,
      Thanks for taking your time reading the post.
      I’m glad that I was able to give you an insight on what options are available to you when you do retire.
      Choose your best option today and plan now to make sure that you reach that goal when you reach retirement.
      Regards

  2. Lately, I have been thinking of what would I do when I retire
    I think “old people’s home” would be a perfect fit for me since I really don’t mind staying in small places and I really like that these places offer medical Care and facilities.

    1. Hello,
      Thanks for reading my post.
      This is an excellent option as it has all the required facilities that retirees need.
      It also gives you a sense of companionship which is also great.
      Let me know if you need any assistance on your planning.

  3. You got me thinking Luis as this is something which I haven’t planned for.
    I’m hoping that I can retire early and my health be in great shape but as you said, conditions are really baring where you can you.
    I’ll take beach location with close forest walks at my best.

    1. Hi,
      Thanks for your comment.
      It’s all about planning ahead, remember you are still the same person in the future as you are today.
      I hope that you reach your goals.
      All the best.

  4. Hi! Great information!
    For my father, he always thought that there are no other good options, so he decided to stay at his own home after he retired. He liked the independence. He also doesn’t want to leave his friends and neighbors due to fear of loneliness. Now I can tell him about other options that he can consider. Thanks for the information!!

  5. Hi Luis, great article. It’s refreshing to read something that’s usually taken for granted. We become busy of the “now” part of our lives and will just be surprised when the future becomes the present “now”. Thinking several steps ahead is crucial that’s why I appreciate your pieces of advice. It’s also interesting that you enlightened us with several options, thus making us think further. All of us will eventually face the prospect of reaching our Golden years and knowing and planning ahead will make this Golden numbers, such Golden times =) Thanks again bro =)

    1. Hello.
      Thank you for taking your time commenting on the post.
      I’m glad that it was beneficial to you 🙂
      Please feel free to forward he post onto anyone else that you know that can benefit from it as you have.
      Regards

  6. Great article. I like the pros and cons you listed for each option. I am in my late 20’s. I’ve already thought about retirement, where I plan to live, and things I want to accomplish in my retirement. Reading your article open up even more options. Thanks for the information. Great read.

    1. Hello
      Thanks for your comments.
      Really awesome that you are being proactive in your approach to your retirement planning.
      Stay posted for more informative posts.

      Take care

  7. Hi there! Not really thinking about that, yet. I am a bit scared of such things like “old age homes”…
    I hope I can live rent free by that time… 🙂

    Have a good one

  8. Hi Luis, Great article another 15 years and I will be retired. Your site is very informative because too many people make no plans for when they retire or get sick when they are older. We have had an adventure with my father in law when he lost his house and had no other plans or finances. We got it sorted in the end but the upheaval for him was upsetting.

    1. Hello.
      Thank you for reading the post.
      The only thing that can give us peace of mind is planning ahead.
      Glad you managed to resolve your father in law’s matter.
      Take care

  9. My father is going to retire in 6 months. I think the best option is living at home, but there are always things in life that can happen. For instance, my fathers wife has been in and out of the hospital for years and she could end up dying in the next 5 years or so. If she does die he’s going to be very lonely which I do worry about.

    He’s kind of quiet so I don’t feel living with someone else is a good option, though. Kind of on the fence on what to do. Any suggestions?

    1. Hello,
      Thanks for your comment.

      I am sorry to hear about your current situation. The best advice I can give you is to look at all the options on this post and weigh all your options up after looking at all the pros and cons of each option. Everyone is different so my choice could be different to yours but I would strongly consider the Retirement Village or Old Age Home option.

      Wishing you and your family all the best and be strong.

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