Will selling my house help me with retirement?

rmillereb09November 4, 2009

All of my kids have grown up and my wife passed away a few years ago. I am currently living in a big empty house all alone. I want to sell my house and downsize preferably to an apartment by the beach. I havenÂt really started [URL=http://www.cfgretire.com/]planning for retirement[/URL], and I am worried that I have waited too long. I'm wondering if selling my house is really going to help me with my retirement funds. I have too many questions that I need to see a [URL="http://www.SextonAdvisoryGroup.com";]San Diego financial advisor[/URL]. I need help finding someone specialized in [URL="http://www.feeonlyadvisor.com/";]planning for retirement[/URL]. Are there any suggestions on where to look or any personal references you might be willing to share? Thank you!

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Just figure out how long the proceeds from your house will last versus the cost of rent you will have to pay. I have always counted on my home which is paid for to be an extra savings. If I have to I can sell it buy a cheaper home and use the extra money to get by on. I have my husband's pension and social security and have no trouble making ends meet with plenty left over. But if I had to pay rent for anything decent my life style would change drastically, I plan on hanging onto my home.

    Bookmark   November 4, 2009 at 8:50PM
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It will take you a little time to find a good advisor, so do that FIRST. You need to meet with them to see if you like them - this person will know a great deal about you and you need to feel comfortable working with him/her. Then you need to have them give you a sample of their quarterly report. They should 'sanitize' an actual client report or have a standard dummy rpt so that you can compare what info one advisor gives clients compared to another advisor - there is no standard format, so you need to be confident that the info on your account would be clearly readable and easily understood. You need to check references, at least three clients who have been with said advisor at least 5 yrs and are willing to be personal referrals. It isn't a quick or simple process, but this is your money and your retirement - vetting an RIA (Registered Investment Advisor) is critical. You would want to interview at least two, and preferably three, RIAs before deciding on who to work with.

Only an RIA can do financial planning, which is what you need before you make the decision to sell (especially in this market). Accepted certification titles that fall into the RIA classification are:
1) CFP: Certified Financial Planner
2) ChFC: Chartered Financial Consultant
3) Certified Public Accountant and Personal Financial Specialist (CPA with a PFS)
4) Chartered Life Underwriter (CLU - for insurance estate planning ONLY)

    Bookmark   November 5, 2009 at 10:55PM
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I tbink you have to ask yourself a few questions.

What will you pay for an apartment - what it costs you to live there?
How much can you get for your house? These days the interest on money doesn't go far. How long will the money you made on the house last--and then what?

If you rent an apartment for $1000 a month, that's $12,000 a year. Can you afford to throw that away on living accomidations and still keep the money from the house for security and to invest.

If you want to downsize, go to a smaller house or Condo. You will still have equity in a home and you won't pay rent.

At least that's my opinion. My paid for house is here for me to have cheap living accomidations in my retirement.

    Bookmark   December 18, 2009 at 11:08AM
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