Considering Retirement? Leverage Your Equity for Your Next Move

Lisa Mailhot  |  September 11, 2023

Buyers

Considering Retirement? Leverage Your Equity for Your Next Move

 

Reaching retirement is a significant life milestone, ushering in a multitude of changes and fresh opportunities. As you stand at the threshold of this exciting new chapter, one consideration that may be on your mind is the prospect of selling your current home and seeking a new one that aligns better with your evolving lifestyle. Reaching retirement is a significant life milestone, ushering in a multitude of changes and fresh opportunities. As you stand at the threshold of this exciting new chapter, one consideration that may be on your mind is the prospect of selling your current home and seeking a new one that aligns better with your evolving lifestyle.

Fortunately, you might be in a more advantageous position to make this transition than you might think. Here are several compelling reasons why:

Evaluate Your Homeownership Duration

Between 1985 and 2009, the typical duration that homeowners remained in their homes was approximately six years. However, according to the National Association of Realtors (NAR), this average has risen significantly in recent years. Since 2010, the typical tenure in a home has extended to slightly over nine years, as indicated by the graph below:

 

This shift implies that many homeowners have been residing in their homes for even longer durations lately. Living in a home for such a substantial period naturally leads to life changes and milestones that might necessitate adjustments in your housing requirements. If your current home no longer aligns with these evolving needs, it's possible that superior housing options are waiting for you.

Reflect on Your Accumulated Home Equity

Moreover, if you've been a homeowner for more than a few years, it's likely that you've amassed a significant amount of home equity that can empower your next move. This is because you accumulate equity as you pay down your mortgage and as property values appreciate. Additionally, the longer you've owned your home, the more substantial your equity gains may be. Data from the Federal Housing Finance Agency (FHFA) illustrates this trend, as shown in the graph below:

While property values can vary by location, the national average indicates that homeowners who have owned their homes for five years have witnessed nearly a 60% increase in their property's value. Furthermore, those who have held onto their homes for 30 years have seen their property's value nearly triple during that time.

Whether your goal is to downsize, relocate to your dream destination, or move closer to friends and family, your accumulated equity can be an invaluable resource. Whatever your homeownership objectives may be, a dependable real estate agent can collaborate with you to identify the optimal course of action. They will assist you in selling your current property and guide you through the process of acquiring a new home that perfectly suits your current lifestyle and preferences.

Bottom Line

As you map out your retirement plans, it's essential to connect with us so that we can assess the equity you've amassed over the years and devise a strategy for utilizing it to secure a home that meets your evolving needs.


Recent Blog Posts

Stay up to date on the latest real estate trends.

Sellers

Unlocking Cost-Free Real Estate Marketing Strategies for Maximum Impact

Lisa Mailhot  |  May 17, 2024

Explore five innovative and cost-free real estate marketing strategies that leverage creativity and strategic thinking to enhance your brand's visibility. From network… Read more

Buyers

The Rise of Tiny Homes as a Game-Changer in Modern Housing

Lisa Mailhot  |  May 16, 2024

Tiny homes are gaining popularity as affordable and eco-friendly housing options, but they come with pros and cons. Explore the tiny house movement and whether it's th… Read more

Buyers

Practical Steps to Achieve Financial Prosperity

Lisa Mailhot  |  May 14, 2024

Discover effective strategies to build wealth and achieve financial freedom in our latest blog. Learn about setting financial goals, managing debt, and the importance … Read more

Buyers

Inland Empire Warehouse Market Faces Oversupply, Rents Under Pressure

Lisa Mailhot  |  May 14, 2024

Explore the current challenges and opportunities in the Inland Empire warehouse market, where an oversupply bubble causing downward pressure on rents. Benefit from ind… Read more

Buyers

Q1 2024 Home Price Surge: Analyzing Metro Market Trends 

Lisa Mailhot  |  May 10, 2024

Discover the latest trends in the U.S. housing market with over 90% of metro areas posting price gains in Q1 2024. Learn which regions are seeing the biggest increases… Read more

Buyers

The Power of Diversity: Enhancing Real Estate Growth and Success

Lisa Mailhot  |  May 10, 2024

Discover how diversity can drive innovation, strengthen client relationships, boost team morale, and improve brand reputation in the real estate industry. Embrace the … Read more

Buyers

Unraveling the Top 10 Deal Breakers in Commercial Real Estate

Lisa Mailhot  |  May 9, 2024

Navigating the complex world of commercial real estate can be a minefield, with many possible challenges that can disrupt even the most promising deals. From financing… Read more

Buyers

How MLSs Are Taking the Reins in Enforcing NAR Settlement Changes

Lisa Mailhot  |  May 8, 2024

Discover the pivotal role of Multiple Listing Services (MLSs) in enforcing the latest commission rules set by the National Association of Realtors (NAR). Learn how the… Read more

Buyers

Homeownership Dreams Fading for Renters in Orange County

Lisa Mailhot  |  May 7, 2024

The latest Federal Reserve Bank of New York survey has revealed a stark reality for renters in Orange County and nationwide – the prospect of owning a home is becoming… Read more

Let’s Talk

You’ve got questions and we can’t wait to answer them.