Have an Empty Nest? Why You Should Rent in Retirement

Saying goodbye to your children and having an empty nest, could mean it's time to relocate to a new city!  There are a number of benefits that can come from renting an apartment in your golden years. Not quite convinced? Here are a few reasons why you'll want to opt to rent vs. buy during retirement:

More Money for Other Things

When you're not putting money every month toward your mortgage, insurance, upkeep costs, and taxes, you can dedicate your cash flow to other things, whether it's traveling or developing a new hobby.

When you sell your home and rent a place instead, you'll also be able to tap into your home equity, giving you significantly more money to either spend or save during retirement. Not only will renting save you from paying a mortgage, it will also help you avoid other costs, including closing costs, real estate fees, homeowner's insurance, and property taxes.

Some houses come with extremely high property taxes because they're near great local schools. However, once you're kids have flown the coop and you're left with an empty nest, there's no reason to pay those fees.

Eliminates Upkeep

While this isn't always the case, apartments are typically smaller than homes. A cozier place means that there's less you have to clean and take care of. Plus, you don't have to worry about fixing that leak in your sink or replacing a broken door, because your landlord will take care of that for you.

Instead of spending your day looking for a new fridge, your landlord can handle that while you visit family or friends you haven't seen in a while, or just relax on the couch with your favorite book.

Home maintenance is not only time consuming, it can get very expensive, especially if you wish to remodel. There's a lot that could need attention in your home, from leaky roofs and worn carpeting, to broken cabinets, and chipped floor tiles. All of those repairs will have to come directly out of your pocket.

Easier to Get Around

Moving into a single-story apartment eliminates staircases, which can be a good thing if you have limited mobility in retirement. Even if moving around isn't a problem in retirement, not having stairs could be a good thing if it becomes harder for you to walk or climb as you age.

You Can Try Out New Places

If you're moving into a home, figuring out which city to live in can be a pressure-filled decision. Buying a home means that you're stuck there permanently. What happens if you figure out down the line that Florida isn't exactly what you thought it would be, and maybe you're more interested in living in Texas? This is why renting can be so convenient.

If you've always wanted to reside in California, try renting an apartment there for a few months. You might find out that you love it, and if so, that's great-- you can extend your lease. But if for some reason you're not happy with the location or your place, you always have the option to move somewhere else with minimal effort and commitment.

Renting gives you the luxury of being able to travel the globe without feeling like you're stuck in one place. After all, retirement should be about rediscovering yourself and trying new things. A house may not necessarily allow you to do that.

It's best to rent an apartment somewhere for at least a year so you can figure out if you would want to remain there or try out a new area. After all, you might love a place at first, but you could end up quickly changing your mind once the honeymoon period has worn off.

You Can Follow Friends and Family

Being close to family is important to a lot of people as they grow older. However, it's not guaranteed that your loved ones will remain in the same city as they go through the various phases of switching jobs and having children.

Having an empty nest can be lonely, and renting an apartment will give you the opportunity to move around and follow your family, should they choose to live somewhere else. You will always have the peace of mind that your loved ones are nearby, should you need their support or simply want their company.