As the market for residential real estate continues to be dismal, should we look at the flip side of the coin for those seniors who are beginning to examine retirement locations? Putting aside the sale of their current residence, could the most popular places for retirement such as California, Florida and Nevada be some of the greatest deals in last 10 years? Considering housing in California, Florida and Nevada are down almost 30% on the aggregate, should seniors that are looking to relocate for retirement be in a good position? You bet…assuming they can sell their house.
A Michigan resident who recently contacted us is working with a mortgage lender and getting a reverse mortgage on his current place that he owns free and clear and is using the proceeds to be a cash purchaser for his new home in Florida. His logic is that the fees for that reverse mortgage are worth it if he can act fast and secure a greater bargain on the purchase of his new Florida home. But is he pulling the trigger on the purchase too early?