Getting a Mortgage After Retirement

restonham · 03-10-2008, 09:23 AM

Not sure if this is the right forum for this question, but it seems like a good place to start.

Later this year my wife and I will retire from full time employment. There may be some small amount of consulting, but, for all intents and purposes, there will be little to no earned income flowing in.

Our plan is to relocate to AZ, though exactly where is still a matter of some discussion (I like moderate summers, she hates snow). The question we have concerns how easy it is to get a mortgage once there is no flow of new money coming in. While it's probable we will be able to sell our house where we live now for a fair amount, I doubt we would be able to pull off an all cash deal to buy another where we end up. We do not expect to have a large mortgage - maybe in the area of $150K or less. Several years ago I would have not asked this question as being alive (and not always) was pretty much all you needed to qualify. Banks are far more judicious today and I am womdering if any of you have had a recent experience taking out a mortgage without earned income. We could pay cash, but that would mean pulling money from tax advantaged accounts and paying a pretty stiff tax for the privilege. In addition, it would mean no income from that amount with no real chance of replacing it.

Any and all advice is appreciated. Thanks.

Niko · 03-10-2008, 10:13 AM

This was previously addressed jut a few days ago. You might start by taking a look there.

unclemick · 03-10-2008, 10:14 AM

Hmmm - 12th year of ER - 2005 Katrina - moved 1000 miles inland to Missouri.

Put together 20% down from my cash/taxible accounts/stocks on an 85k house, 30 yr fixed. Did not ding my IRA. 2006 lost discipline and dinged IRA to remodel/furnish etc and do extra travel cause I felt mortal after Katrina.

Don't know if that helps.

heh heh heh -

. We have had long mortgage/pay off the house threads in the past. In the end I just contemplated my navel and did what floated 'my boat.'

P.S. - Countrywide. They were interested in my Vanguard IRA stash and my credit rating. 5.78% sept 2005.

03-10-2008, 09:23 AM	#1
restonham Dryer sheet aficionado Join Date: Oct 2007 Location: Reston Posts: 47	Getting a Mortgage After Retirement Not sure if this is the right forum for this question, but it seems like a good place to start. Later this year my wife and I will retire from full time employment. There may be some small amount of consulting, but, for all intents and purposes, there will be little to no earned income flowing in. Our plan is to relocate to AZ, though exactly where is still a matter of some discussion (I like moderate summers, she hates snow). The question we have concerns how easy it is to get a mortgage once there is no flow of new money coming in. While it's probable we will be able to sell our house where we live now for a fair amount, I doubt we would be able to pull off an all cash deal to buy another where we end up. We do not expect to have a large mortgage - maybe in the area of $150K or less. Several years ago I would have not asked this question as being alive (and not always) was pretty much all you needed to qualify. Banks are far more judicious today and I am womdering if any of you have had a recent experience taking out a mortgage without earned income. We could pay cash, but that would mean pulling money from tax advantaged accounts and paying a pretty stiff tax for the privilege. In addition, it would mean no income from that amount with no real chance of replacing it. Any and all advice is appreciated. Thanks.

03-10-2008, 10:13 AM	#2
Niko Recycles dryer sheets Join Date: May 2005 Posts: 163	This was previously addressed jut a few days ago. You might start by taking a look there. __________________

03-10-2008, 10:14 AM	#3
unclemick Give me a museum and I'll fill it. (Picasso) Give me a forum ... Join Date: Jul 2003 Location: north of Kansas City Posts: 5,553	Hmmm - 12th year of ER - 2005 Katrina - moved 1000 miles inland to Missouri. Put together 20% down from my cash/taxible accounts/stocks on an 85k house, 30 yr fixed. Did not ding my IRA. 2006 lost discipline and dinged IRA to remodel/furnish etc and do extra travel cause I felt mortal after Katrina. Don't know if that helps. heh heh heh - . We have had long mortgage/pay off the house threads in the past. In the end I just contemplated my navel and did what floated 'my boat.' P.S. - Countrywide. They were interested in my Vanguard IRA stash and my credit rating. 5.78% sept 2005. Last edited by unclemick; 03-10-2008 at 10:18 AM. Reason: P.S.

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