Housing During Retirement: Your Go-Go Years, Your Slow-Go Years and Your No-Go Years

When people think of retirement, they often envision the couple walking on the beach, sailing the sailboat, or playing golf. It is easy to picture the active part of retirement that is free of the stresses of work and career. However, with many retirees living as long as 30 years in retirement, the reality is that their retirement ends up having three phases: the go-go years, the slow-go years, and finally, the no-go years.

Most people do not think through advanced retirement, where they will live, and what it will cost in their 70’s, 80’s and 90’s. Housing is both a major financial asset on the balance sheet and a significant expense in the household budget. Housing may also be the largest expense component of retirement income; the time for planning is in advance of a major health event and before advanced age takes its toll. Where to live should be proactively thought through in advance of a health crisis, even if the intent is to “age in place” and remain in your home. Mobility limitations, a chronic illness or a catastrophic health crisis may give way to a housing move, reshape the best-laid plans, and disrupt your financial preparedness.

Susan Moore of Moore Wealth Management, Inc. (MWM) in Montgomery, AL conducts a free workshop every year in May on planning for housing expense during retirement. Legg Mason produced the workshop, in conjunction with the Johns Hopkins School of Nursing. Attendees receive a