# Transition to Retirement home



## dubmac (Jan 9, 2011)

Hi all.
Quick question to retirees and those who are close to retirement. 
What steps did you take when you purchased your "retirement" home?
Did you:
1. buy your retirement home a few years before actual retirement?...or did you 2. first sell your "city/family" home and then purchase your retirement home?
I am within 2-3 years of retirement. Pretty sure I'll have enough. No debt. (No public pensions, but we do have pension income) TFSA's maxed out. The city home is in a nice place - no rush to sell. 
If I choose 1., I can use TFSA and squeeze out a bit more cash to put down 25% on a property, and carry 400K or so. This added debt would be paid off when the family home is ultimately sold...in a few years...but who knows what the situation will be then - (no one knows)
Is there anything one needs to know before choosing 1 or 2?


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## ian (Jun 18, 2016)

Retired. Sold our five bedroom home/downsized into a container. Travelled for 7 months, then another 3 in a furnished DT apt.

Then six months that turned into four years of a condo rental. Real estate was in the toilet. Our home equity did much better in the market.

Finally bought in a lock and leave HOA environment. Bungalow.

We thought we wanted a multi story condo. Changed our minds after travel and after living in a condo.


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## AltaRed (Jun 8, 2009)

There is no single answer. My take is to make a change when one wants or needs to do so. It may be declining health, or it may be a major lifestyle change (see post #2). It could end up being 3 or 4 housing changes as a result of lifestyle changes throughout retirement. That all said, it is good to be thinking about 2-3 scenarios ahead of time so that one is not caught flat footed.

In my case, spouse and I re-located to a more friendly environment (BC Okanagan) and bought a bigger house with a pool. With retirement, we had more time to travel, entertain and garden. We are now in our early '70s and will soon be ready to downsize to something (within 5 years). We will keep our eyes open to opportunities which include 2-3 bedroom bungalow style empty nester community (strata), and/or medium rise 55+ condo. It will be opportunistic when the right development comes along at the right time.... health permitting. Ultimately, we know we will end up in congregate housing, hopefully an upscale development. That is likely a minimum of 2 more moves.


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## newfoundlander61 (Feb 6, 2011)

We sold a couple of years back and started renting an apartment. Turned out perfect for us, we are used to it and seems like we have been doing it forever.


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## sags (May 15, 2010)

We retired and sold our large home 15 years ago and moved back to our home city. We bid on an apartment but didn't end up buying it.

We decided to look around for a bit, rented a townhouse and decided we didn't want a couple more moves in our lives.

In the end...we lost money on a possible real estate gain, but our townhouse is covered under the rent controls and our rent is now a bargain $1140 a month plus hydro.....so we save at least $500 a month on current rental rates for a 3 bed/3 bath townhouse in our area. The landlord covers heat, water and sewer, taxes, and all maintenance costs and the rent provides membership to a private community club with a resort like outdoor pool area, indoor pool, and gym.

So if we want to spend a day by the pool, we don't have to book a place or drive anywhere. It is all just a block away, open all year and free.

We renovated the unit ourselves and added a front porch to avoid the rent increases if the landlord paid for it.

We are happy to stay here until we go into LTC or a retirement home. Hopefully we won't even have to do that.

Before I retired, someone at work asked me what my retirement plans were and I said I didn't know. They say they would never retire without concrete plans.

Well......good luck with that. Life changes and you gotta go with the flow.


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## sags (May 15, 2010)

During our last move half my 20,000 vintage card collection disappeared into the twilight zone.

My wife "remembers" that I told her to toss out a bunch of boxes from my hobby room. Uhhh........no I would never do that.

So.....if you are moving make sure you move your own stuff........


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## birdman (Feb 12, 2013)

I was fortunate in being able to retire at 55 and 3 mos before retiring we purchased a retirement house subject to the sale of our existing home. The deal closed and we sold ours ourself and purchased the new one privately. The sale and purchase prices were similar. The interesting part is that we moved from a nice 3 level 2100 sq ft home with a pool on .33 acre lot to a 2000 sq ft rancher with a with a full w/o bsmt (total area 4000 sq ft) on .7 of an acre. We both enjoy the large landscaped view lot and house which are great when family comes to visit. The house and property keep us busy, provides exercise, and there is always something that needs to be done. We are both healthy and in our mid 70's and for now we have no intentions of moving unless its to a care facility. When the yard work house maintenance gets to be too much we will simply hire someone to help with the chores.


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## kcowan (Jul 1, 2010)

We have stayed in our Canadian home since Jan 98. Retired in 2002 and gradually extended our rental stay in PV MX. When we reached 3 months, we evaluated buying and concluded that 4 months was break even so we bought in 2007.

In 2018, we bought an upgraded new condo. We save 40% of our budget by living there 6 months. That was a surprise.

None of this could have been anticipated prior to retirement. Both places are lock and leave.


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## Zipper (Nov 18, 2015)

It is a good feeling not to have a mortgage. We have been in our "forever" home now for 38 years and the mortgage was gone decades ago. I'm 78 and Mrs. Zipper is 72 and I still enjoy our huge gardens on a large lot. We have a 5 level backsplit and the stairs keep us young.

However when the time comes we will rent a 2 bedroom apartment.


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## dubmac (Jan 9, 2011)

Wow. Quite an assortment. I didn't expect the responses that included renting apartments etc. - but I see the appeal in renting a place in a beautiful setting for a few months during winters.
In my case, I'm OK with where I am, but I'd like more privacy, space, and access to outdoor spaces - skiing, hiking, biking, etc. ...but then, access to health care and services also become variables to consider. It appears that few if any buy a place before selling their principal residence, and take on debt in the process.


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## marina628 (Dec 14, 2010)

dubmac said:


> Hi all.
> Quick question to retirees and those who are close to retirement.
> What steps did you take when you purchased your "retirement" home?
> Did you:
> ...


We are in process of building our forever home now , a 1900 sq ft ranch bungalow with all accessible features ,the basement is also being finished for additional living space 2 bedrooms and a full bathroom and a elevator.We sold our city home and closed in June and spending next 4 months at our home in Newfoundland that we purchased in 2014 but continue to renovate.I use a wheelchair so already have the need but highly suggest you do plan for the days you need mobility devices.We went with new build so we timed the closing for our yearly trip to Newfoundland and put everything in storage.We left Toronto and Moved to Quinte West ,the prices are significant less but it is still costing us over $700,000 for the home on a 50 x140 ft lot.


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## jargey3000 (Jan 25, 2011)

sags said:


> During our last move half my 20,000 vintage card collection disappeared into the twilight zone.
> 
> My wife "remembers" that I told her to toss out a bunch of boxes from my hobby room. Uhhh........no I would never do that.
> 
> So.....if you are moving make sure you move your own stuff........


ouch!
(kinda) feel your pain saggy....
during our "downsizing" move 9 yrs ago, at the encouragement of da wife, I elected to sell off the bulk of my LP record collection. Guy gave me $75 bucks for 3 boxes. As he drove off in his pickup, I remember thinking something like...jeez, he just drove off with a big chunk of my life....and I got $75 f-in bucks for it!
Regretted it ever since. I go to the odd used-record sales & every now & then I'll see one of MY records for sale. 😢😢😢


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## jargey3000 (Jan 25, 2011)

marina628 said:


> We are in process of building our forever home now , a 1900 sq ft ranch bungalow with all accessible features ,the basement is also being finished for additional living space 2 bedrooms and a full bathroom and a elevator.We sold our city home and closed in June and spending next 4 months at our home in Newfoundland that we purchased in 2014 but continue to renovate.I use a wheelchair so already have the need but highly suggest you do plan for the days you need mobility devices.We went with new build so we timed the closing for our yearly trip to Newfoundland and put everything in storage.We left Toronto and Moved to Quinte West ,the prices are significant less but it is still costing us over $700,000 for the home on a 50 x140 ft lot.


marina...$700000 for 1900 sq ft?
you must love what you paid for the house here in NL.🤓
(ps...still doing a bit of online gambling?)


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## AltaRed (Jun 8, 2009)

dubmac said:


> Wow. Quite an assortment. I didn't expect the responses that included renting apartments etc. - but I see the appeal in renting a place in a beautiful setting for a few months during winters.
> In my case, I'm OK with where I am, but I'd like more privacy, space, and access to outdoor spaces - skiing, hiking, biking, etc. ...but then, access to health care and services also become variables to consider. It appears that few if any buy a place before selling their principal residence, and take on debt in the process.


You must be a youngster yet for not seeing the value of washing one's hands of home maintenance, if not outright punting of home ownership. It is the most freeing thing I can think of. We rented houses in 4 different instances of being an ex-pat in the USA, from DC to TX to AL. Loved every minute of it. We spent all our free time traveling and exploring and simply enjoying life. Absolutely wonderful!

P.S. I'd never go into debt to have a second property, or another property in anticipation of looming retirement. Seems like an awful way to mess with one's mind and pocketbook.


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## sags (May 15, 2010)

jargey3000 said:


> ouch!
> (kinda) feel your pain saggy....
> during our "downsizing" move 9 yrs ago, at the encouragement of da wife, I elected to sell off the bulk of my LP record collection. Guy gave me $75 bucks for 3 boxes. As he drove off in his pickup, I remember thinking something like...jeez, he just drove off with a big chunk of my life....and I got $75 f-in bucks for it!
> Regretted it ever since. I go to the odd used-record sales & every now & then I'll see one of MY records for sale. 😢😢😢


I know the feeling. You think.......heck, I can always get money but I can't get my stuff back.

The worst is selling our last home. Today I think........I can't even afford to buy my old home back.


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## dubmac (Jan 9, 2011)

AltaRed said:


> You must be a youngster yet for not seeing the value of washing one's hands of home maintenance, if not outright punting of home ownership. It is the most freeing thing I can think of.


I'm in the middle (day 4) of painting bedrooms and bathrooms in my place - so I know all about the home maintenance challenges that you are referring to.
I can see the appeal in many responses here- but still, need to get a better picture of what I want exactly. Given I have a few kids, I want a house - preferably with a yard, and play spaces for me and everyone else. I can't get that in an apt or condo. I also want my wife to have a nice, paid-for house that she can sell or not when that time comes - I guess it has to do with security. I could get them if I rent - I hadn't considered it among the options. What I _do_ like, is hearing from many out there who have a house in Canada that is their home base, and they spend 3-4 months renting a place in warm or exotic places - preferably both warm _and_ exotic! That to me is appealing!
I've also concluded that buying a second property, while still holding one principal residence probably isn't for me. I also don't think I want to be a landlord - cuz I'd have to be to carry it.


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## Eder (Feb 16, 2011)

We retired at 52...sold our home the following year and have remained homeless ever since. Not sure if we'll ever buy/rent another home....I did buy a bat suit to leap off Chinaman's Peak should health problems raise their ugly head though.


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## AltaRed (Jun 8, 2009)

dubmac said:


> Given I have a few kids, I want a house - preferably with a yard, and play spaces for me and everyone else. I can't get that in an apt or condo. I also want my wife to have a nice, paid-for house that she can sell or not when that time comes - I guess it has to do with security. I could get them if I rent - I hadn't considered it among the options. What I _do_ like, is hearing from many out there who have a house in Canada that is their home base, and they spend 3-4 months renting a place in warm or exotic places - preferably both warm _and_ exotic! That to me is appealing!


I understand the home and yard bit for a growing family. Not so much when one becomes an empty nester. To me, in my 70s in retirement, I really like the idea of a bungalow strata unit that provides me with some private space but no exterior responsibilities. Also 'lock and leave' for those winter months in warm sunny locations.
Example: Gated community with clubhouse Sun Village Several of these developments around the Central Okanagan


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## Mechanic (Oct 29, 2013)

5 years ago we sold our AB home, as well as our house in BC that we had originally bought with a view to retirement. We had rented out the BC place but that was just a headache. We actually lost money on the BC place due to bad timing but those two sales covered a home we bought on Vancouver Island, where the RE market was heating up. We were planning on a smaller place but couldn't find anything smaller and actually ended up with a bigger place on about 2/3ac. We enjoy the beautiful property and the large home is great when the kids all come to visit, but we will be downsizing at some point in the next few years. Smaller properties here have increased in price by around 70-80% and our larger place about 50%. I guess it's supply and demand.


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## AltaRed (Jun 8, 2009)

Making (or losing) money is incidental to the practical/pragmatic aspects of changing accommodation as one's lifestyle changes. It is a matter of physical and mental need. Some will make money (that's good) and some will not (unfortunate perhaps but that's life). The important thing is to make the changes when they need to be made for one's wellbeing.


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## dubmac (Jan 9, 2011)

Mechanic said:


> ... we bought on Vancouver Island, where the RE market was heating up. Smaller properties here have increased in price by around 70-80% and our larger place about 50%. I guess it's supply and demand.


We are looking at properties in the Comox Valley...Cumberland, Courtenay etc...maybe further south. good hospital (Courtenay), and lots of things to do (skiing, hiking, biking, coasts, lake, etc..). Apparently, international flights to and from Comox I am told. Prices have indeed gone up - significantly, but then, so has my place in the city so it's pretty much a wash if we do go ahead in the coming year or 2.

The only hiccup that I see in the plan is living on an island. We visit often, but I've never lived on the island. Not sure about that piece.


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## dubmac (Jan 9, 2011)

deleted
(Is there a way to delete comments on this site??)


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## Spudd (Oct 11, 2011)

dubmac said:


> deleted
> (Is there a way to delete comments on this site??)


Not that I've found!


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