Retiree couple moving, selling, and off to their next adventure

As a retiree working on your future real estate plan, you may be deciding to stay in your house or even keep it and rent it out like we discussed in parts one and two of the series. Here we address the benefits of selling and how it can fit into your overall plan.

Retirees who make the decision to sell prefer to cash out in order to have full access to their equity. This allows them to smoothly make a move or use their finances in order to make different types of investment. Should this be your choice, there are a few options for approaching a sale and your move.
 
You can of course move to a smaller place like a condo or townhouse locally if you'd like to stay near your current friends or local family. ​You can also move to a similarly sized home in a neighboring community that is less expensive or a dedicated 55 years + retirement community which often sell for less than current market value. These options allow you to keep some of your original leftover equity.
California has also made provisions for retirees that if you move within an allowable county or into a reciprocal county, you can keep your tax basis (Propositions 60 and 90). This only works for those 55 years +, and the property must be of equal or lesser value. Of course these come with a littany of rules, so feel free to schedule a call or meeting with our team to discuss what might make sense for you.
 
People often ask me if they can buy first before they sell? Sometimes it's possible based on assets and income to buy first and do a near concurrent close with the sale in order to move directly. However, usually what people find is that it's more financially feasible and less stressful to sell first, then buy - because they know exactly how much they have and they don't have the time pressure for finding a new place so they can locate what they really want.
I have a couple stories about two different sellers who sold and moved out of our area that handled it completely differently, which are shared in the last part of the series.