We’re all going to retire someday, so when should we start thinking about retirement homes?
Odds are that now is a great time to buy a retirement home in Grand Junction.
Why You Should Buy Your Retirement Home BEFORE You Retire
Buying a retirement home before you actually retire—5 or 10 years before, actually—can really pay off if you’re planning on paying for it with a mortgage.
Right now, interest rates are still low (although there is talk of a hike on the horizon). That’s not all, though.
Easier Approval While You’re Still Working
It’s easier to get loan approval when you still have a steady source of income, which means it may be best to buy your retirement home long before you retire. Lenders look at your debt-to-income ratio, or DTI, which will most likely be lower while you still have a job.
If you wait until you retire, you’ll also probably limit the size of the mortgage you can qualify for.
More Money Coming In = More Money for Your House
If you need renovations, or if you’re going to remodel, you’ll have better cash flow if you’re still working. You should set a budget… but it’s easier to make it all work out if you have money coming in from employment.
The Sooner You Get a Loan, the Sooner You Pay It Off
You’ll have a head start on a 30-year mortgage if you begin paying on it a decade before you retire… and that means you’ll be able to rest a bit easier once you do retire.
You’ll also be able to budget better for your retirement living expenses when you know exactly how much your mortgage payment will cost you.
Expanding Your Investment Portfolio
If you buy your retirement home and use it as a rental property before your retire, you’ll be expanding your investment portfolio—and you’ll be bringing in an additional revenue stream. You may even be eligible for tax breaks for owning a rental property.
Are You Buying a Home in Grand Junction?
If you’re thinking about buying a home in Grand Junction, Fruita or any of the surrounding communities, we’d love to help you.
Call us at 970-765-4135 or get in touch with us online to tell us what you want from your next house. We’ll help you find it.
In the meantime, feel free to browse our:
- Grand Junction real estate listings
- Fruita real estate listings
- Palisade real estate listings
- Redlands real estate listings
- Clifton real estate listings
- Glade Park real estate listings
- Loma real estate listings
- Whitewater real estate listings