Retirement is a time of freedom; it’s something people look forward to most of their lives. As you prepare for retirement, it’s natural to consider ways to reduce your housing costs. Fortunately, there are some great ways to enhance your lifestyle while reducing costs.
6 Ways to Save Housing Costs in Retirement
- Downsize – The most common way to reduce costs is to downsize. Many older Americans find they can greatly reduce or eliminate monthly payments while reducing upkeep.
- Home Sharing – If you are single, consider finding a housemate.
- Retirement Communities – 55+ communities offer a lower-cost, lowmaintenance lifestyle.
- Look at Your Mortgage – Make your current monthly payment more affordable by refinancing at a lower rate. You might also consider a reverse mortgage. Federally insured reverse mortgages can provide income to supplement your retirement savings.
- Retire in Phases – Plan for the stages of retirement, including possible assisted living. Buying into these multi-stage communities can save thousands throughout your retirement.
- Sell Your Home – Maybe you no longer need to own a home at all. Selling a home and pocketing the proceeds can give you the freedom to travel more and rents may be less expensive than owning.
If it’s finally time to retire, or if you are in the final planning stage, consider the cost of housing. Saving money on monthly expenditures is the best way to make the most of your hard-earned retirement.