Many people think about the best cities to retire in, which is important. Have you ever considered which cities have the most people who are prepared for retirement, however?
A new report by Smart Advisor Match is breaking that down. Factors that went into determining the top cities included poverty rate, retirement income, the homeownership rate for seniors, housing cost, percent of seniors with retirement income, and the housing cost burdened rate for seniors, among others.
According to Smart Advisor Match, here are the top 5 cities where seniors are most ready for retirement.
- The Villages, Florida
- Huntsville, Alabama
- Surprise, Arizona
- Sun City, Arizona
- Anchorage, Alaska
There is a lot to consider as you approach your retirement years, chief among them is how to make it financially feasible through proper planning. So, before you pack up and move to Florida or Arizona, consider that it isn’t just about where you live that helps you retire, it is about how you plan.
A Home Equity Conversion Mortgage (HECM)* loan is a decent option to consider. These loans allow homeowners to borrow against the value of their home. Repaying the mortgage (interest or principal) isn’t required until the individual passes away or the property is sold. Repayment may need to happen quickly if the borrower does not use the house as their primary residence anymore, or does not to pay insurance, taxes or pay for repairs.
*(1) at the conclusion of a reverse mortgage, the borrower must repay the loan and may have to sell the home or repay the loan from other proceeds; (2) charges will be assessed with the loan, including an origination fee, closing costs, mortgage insurance premiums and servicing fees; (3) the loan balance grows over time and interest is charged on the outstanding balance; (4) the borrower remains responsible for property taxes, hazard insurance and home maintenance, and failure to pay these amounts may result in the loss of the home; and (5) interest on a reverse mortgage is not tax-deductible until the borrower makes partial or full re-payment