Anybody upsizing their house in retirement without a mortgage?

[W2R]

Well, we haven't ruled that out either. We plan to make that decision for once and for all in the next few years, so that another move will not be needed.

[Mulligan]

Quote:

Originally Posted by W2R Well, we haven't ruled that out either. We plan to make that decision for once and for all in the next few years, so that another move will not be needed.

Well the good thing is if you move to the ozarks instead, W2R, you will not have to withdraw more money on that decision. Unless you change your mind and want to buy a mansion, I imagine your price point will be the same or less up there.


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[Lsbcal]

Quote:

Originally Posted by W2R Well, we haven't ruled that out either. We plan to make that decision for once and for all in the next few years, so that another move will not be needed.

Sounds like you are looking at all the angles. Moves are tough (I think) so one wants to be excited about the goal. We moved only once in the last 4 decades and it was nice a way to clear out the old stuff.

[haha]

Quote:

Originally Posted by W2R Well, we haven't ruled that out either. We plan to make that decision for once and for all in the next few years, so that another move will not be needed.

Moves are very expensive, in every way, especially when multiple house buys and sells are contemplated.

IMO once someone hits age 60, there ideally will be at most one unforced move in their future.

Again, to simplify, hurricanes and flooding are the telling reasons to leave New Orleans. Crime can be avoided by living in a high security high rise, and not going into dicey areas when out. Even if you do not wish to live together you and Frank could very comfortably live in the same building.

You said you had a recent break-in. These are very unsettling, I hope you are feeling secure again.

There are many burglaries in low crime Seattle, in neighborhoods of 3-$5 million dollar homes. There are break-ins everywhere, except where it is almost impossible, and there they still happen but just not often.

Ha

[W2R]

Quote:

Originally Posted by Mulligan Well the good thing is if you move to the ozarks instead, W2R, you will not have to withdraw more money on that decision. Unless you change your mind and want to buy a mansion, I imagine your price point will be the same or less up there.

So true! In that case, I can just buy the house outright before my house even sells. Then, if I need to do renovations before moving in, I will have plenty to cover that as well.

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Originally Posted by Lsbcal Sounds like you are looking at all the angles. Moves are tough (I think) so one wants to be excited about the goal. We moved only once in the last 4 decades and it was nice a way to clear out the old stuff.

The older I get, the tougher the idea of moving seems to get, too. I want to be settled into my new house before I am 70, for sure.

So (you guys will understand), I kind of laid down the law about the fact that I would be moving to another house in the next 1-3 years no matter what. I am tired of waiting on this. Gettin' tough and pushy in the way that we women can sometimes be. Frank and I need to make up our minds on this and if we don't, I'll move into another house here and stay here for the duration.

He is working on his end of this decision, and we are definitely planning a road trip up north later on this spring or summer to see if we are still excited about Springfield MO. Might brave the tarantulas, snakes, and blistering heat to drive through Texas on the way back.

[W2R]

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Originally Posted by haha Moves are very expensive, in every way, especially when multiple house buys and sells are contemplated.

There's the truck rental and gas, the strong backs to hire to load and unload it, renovations on the house and landscaping, closing costs, all the new furniture since we aren't taking much or any, and so much more. But then, what's money for, party like it's 1929 I suppose. Well, once I manage to extract more from my portfolio.

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Originally Posted by haha IMO once someone hits age 60, there ideally will be at most one unforced move in their future.

This will be that one unforced move. The last time I moved was in 2002, and I was only a young lass of 54.

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Originally Posted by haha Again, to simplify, hurricanes and flooding are the telling reasons to leave New Orleans. Crime can be avoided by living in a high security high rise, and not going into dicey areas when out.

That will be something I will be checking out if I end up buying here. If I had a million and a half to spend, I could find a really nice one but I am looking at much lower priced accomodations. I'll have to see what if anything I can find at my price point. BTW, you have figured out the two main reasons why we want to leave New Orleans. I am impressed, especially considering that you are probably on pain killers from the surgery still.

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Originally Posted by haha Even if you do not wish to live together you and Frank could very comfortably live in the same building.

We'll have to see what is available that each of us can afford.

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Originally Posted by haha You said you had a recent break-in. There are many burglaries in low crime Seattle, in neighborhoods of 3-$5 million dollar homes. There are break-ins everywhere, except where it is almost impossible, and there they still happen but just not often.

I know.... Look at what happened to John Lennon. He wasn't even inside his condo and he was shot dead, which of course something to be avoided as well.

[Live And Learn]

Quote:

Originally Posted by Helen We decided to buy the new house before selling the old one, so we sold enough stock to buy the house out right. This worked out well because we ended up with cash from the sale of the old house and dumped it into Vanguard's Wellesley fund to use as part of our early retirement money.

Just for perspective - we did the "buy before selling" thing and I'd never do it again. It was great because we were able to clear all the junk out of the original house first, so it showed well. We moved 1 month after buying (the new house needed all new flooring, a new roof, and a fresh coat of interior paint). In total it was 10 weeks between buying the new house and selling the old house but I was a basket case worrying about the roof on the old house, the 2 HVAC units and all the other things that could break / need repair / need replacement during that time. It is one of the most influential causes in my OMY (x2) syndrome ! (Thankfully that can't happen to W2R !).

W2R - I'm with you on the "no mortgage ever again" thing. You've gotten a lot of good suggestions on slow and steady withdrawals, treating this as just a larger WR than you're used to. That's the way I'd go. Since you're in no rush you could manage it in a way that keeps your tax rate relatively low but clears up enough cash for your new place.

I look forward to reading about the house hunt. How about calling the Property Brothers ! (I love those guys)

[W2R]

Quote:

Originally Posted by Live And Learn [...] I look forward to reading about the house hunt. How about calling the Property Brothers ! (I love those guys)

I love the Property Brothers too, and probably would even if they were ugly

I just hope I don't back out of this move, whose planning is still in its infancy. Otherwise, instead of talking about the move-that-never-happened (back in 2010), I'd have to specify: the move-that-never-happened-Part-One or the move-that-never-happened-Part-Two.... Even if all goes well, I am sure it will not be fast. Houses still are not selling in my neighborhood and who knows what the market will be like here in a few years when I am trying to sell.

Thanks for the additional perspective about buying before selling.

[Marita40]

I've been living in a condo for the last six years; I was in a single family home for 30 years before that. I'm still conflicted about condo living. The location is great, the space is lovely, it is all fixed up the way I like--but I have moments when I long for the independence of the single family home. If I do decide to move I would no doubt have to move "up" in terms of house cost. It would also kill me to assume a mortgage again.

[RockyMtn]

Currently have two homes. Colorado home is about 4500 sq ft over 3 levels. Arizona home is 2400 sq ft with a 500sq ft casita. Would like to sell Colorado home and move to Arizona year round. Probably buy something a bit bigger in Az...maybe 3500 sq ft. We have lots of guests, grown kids, grandkids, etc so need a few extra beds.

The money we save dumping the one house will be used to pay for extended vacations when it gets too hot in the desert during July, August. At the end of the day I expect that we'll still come out significantly ahead over owning the two places plus we'll be putting a big check into savings and no longer have any type of mortgage.

Now, if I could just get my act together and get the Colorado house ready for sale!

[Lsbcal]

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Originally Posted by W2R I love the Property Brothers too, and probably would even if they were ugly I just hope I don't back out of this move, whose planning is still in its infancy. Otherwise, instead of talking about the move-that-never-happened (back in 2010), I'd have to specify: the move-that-never-happened-Part-One or the move-that-never-happened-Part-Two....

If you are motivated this could happen fairly quickly.

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Even if all goes well, I am sure it will not be fast. Houses still are not selling in my neighborhood and who knows what the market will be like here in a few years when I am trying to sell.

At the right price houses can be sold quickly. One could put this at the top of the priority list and launch full time into making it happen.

Right now the economy seems to be making progress, rates have not gone up a lot ... maybe it's a good time to make a change?

[Helen]

Quote:

Originally Posted by RockyMtn The money we save dumping the one house will be used to pay for extended vacations when it gets too hot in the desert during July, August.

This is a nice setup. There are many places to go in July and August. Those are great months to visit the Pacific Northwest, the Northern Midwest states and places like Vermont, New Hampshire and Maine. July may be a bad mosquito month, but August is prime.

Actually, you could rent a place in Colorado for those two months too.

[keegs]

If it's within your means to enjoy a balance of living for today as well as for tomorrow then you've been good and ....lucky

[Moemg]

If your neighborhood is going down I would suggest moving before you lose a lot of value in the house . I saw this happen way to often in New Jersey.

[Culture]

Currently building our retirement home (have purchased lot, currently working with architect and builder on design), with an expected cost 3.5x the value of our current home. I expect to retire about the time it is finished in one year. The size will be about 12% bigger, but finishes will be much, much nicer, and floor plan configured for retirement rather than raising kids. The purchase of he house has delayed my retirement by one year, as it is going to be double what I expected to spend.

I am paying cash out of my taxable investment accounts. We are saving about 70% of our income right now, and all of that is currently going to VG Prime MM to defray as much as possible. The balance will come from selling bond funds, as I was already tilting towards bonds over the past three years in anticipation of purchasing a house with cash. I plan to leave equities alone to avoid capital gains.

Why the high cost? It was the only way we could build a house that would make me and my wife both happy. I wanted a large lot in the county with a 2000 SF shop building. She wanted to be in a nice neighborhood in the city. It turns out that large acreage lots in nice neighborhoods in the city where you can build 2000 SF shop buildings are $$$$$$$$$$$$$$.

[imoldernu]

W2R... Please don't try to close this thread again... am using the story line in my new novel.
Promise to share the residuals...

[aja8888]

Quote:

Originally Posted by Culture Why the high cost? It was the only way we could build a house that would make me and my wife both happy. I wanted a large lot in the county with a 2000 SF shop building. She wanted to be in a nice neighborhood in the city. It turns out that large acreage lots in nice neighborhoods in the city where you can build 2000 SF shop buildings are $$$$$$$$$$$$$$.

With our newer home in November 2013, I did not win out with the lot and big shop I wanted , BUT I SURE BOUGHT A LOT OF NEW TOOLS INSTEAD!!

[Culture]

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Originally Posted by aja8888 With our newer home in November 2013, I did not win out with the lot and big shop I wanted , BUT I SURE BOUGHT A LOT OF NEW TOOLS INSTEAD!!

I have included an ample tool budget in the shop budget. What use is an empty shop?

[Hermit]

The architect insisted I give up 8' x 11.5' of shop space for a small dining area. She obviously does not understand that more toys in the shop are more important than eating!

[Walt34]

Quote:

Originally Posted by Hermit The architect insisted I give up 8' x 11.5' of shop space for a small dining area. She obviously does not understand that more toys in the shop are more important than eating!

Women are that way. Guys can be happy eating beans out of a pot over a camp stove but a well-equipped large shop is a necessity.

Some people's priorities are indeed a mystery.