3. A mortgage is a big expense, and even if you do get approved for one, it isn't always the smartest financial move. Here are five reasons why you should buy now rather than wait until you retire. They sell the house and rent an apartment for $2,000 a month. If you’re planning on buying a house soon after retirement, you may not have the time to spread withdrawals out over several years. Pros and cons of financing a home with debt when you're over 60. Buy when you’re financially ready. For example, Mr. and Mrs. Smith have a house in Toronto they have just sold for $1.5 million. So, before you make your decision, consider the pros and cons of buying a house. They have decided to move to Niagara-on-the-Lake and buy a bungalow for $850,000. As … Never buy a house based solely on the market. [See: 10 Tips for Finding a Great Place to Retire .] Whether to rent or own in retirement is a big decision that should not be taken lightly. They should consider a ranch-style home or a house that has a master bedroom and bathroom on the main floor." This will give them approximately $600,000 (after costs) to live the retirement they have been dreaming of. If you are age 60 or above, and have decided that it’s time to buy a home—whether to downsize, retire, or for some other purpose—you’ll have to think carefully about the best way to finance it. For those who have the means, buying a second home during your working years can offer a pre-retirement trial period. Should I rent or buy a home in retirement? Buying Pros. Buying a new home in retirement isn't always wise. Say they did not have a mortgage and, after closing and moving costs, clear $480,000, which they invest in … Even if you’re financially ready to buy a home, you should still be sure your heart is in the purchase. ... running out and buying a new home will likely not make financial sense. As a retiree you don't need a third or fourth bedroom. So why would you buy a 2,000 or 3,000-square-foot house with a big lawn when it's just one or two of you? Buying a House Near Retirement Age: Should I Take Out Mortgage or Pay All Cash? Deciding whether to rent or buy a … Consider expenses, taxes, and your peace of mind. Buying Pros and Cons. Published: January 07, 2015 03:15 PM. Some pre-retirees opt to try a new location on a part-time basis, with a condo in the city and a house in the country. Even better, rent the house out in high season and visit regularly in the offseason. Your peace of mind have just sold for $ 1.5 million the retirement have... Reasons why you should still be sure your heart is in the purchase ’ re financially ready to a! Will give them approximately $ 600,000 ( after costs ) to live the retirement they decided... Heart is in the offseason the house out in high season and visit regularly in the offseason example Mr.. I rent or buy a house Near retirement Age: should I Take out Mortgage or Pay All?... 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