Today we have a wonderful guest post by Bob Shannon of SeniorsMeet.org. I suspect my audience is varied in age and in different stages of life, so some of you should definitely be able to benefit from Bob’s wisdom. And if you are in an earlier stage of life, hey, it’s never too early to start planning ahead! Today’s post is for all of you retirees or soon-to-be retirees out there, especially those of you in the Bay Area, California.
Are you ready to take steps in your retirement that will help you enjoy the next 20+ years? If so, moving to a new area like San Francisco is an excellent choice. But before you head to your new hometown, there are some things you should know to help you streamline your move.
Bigger may be better.
While many of your contemporaries will likely move to smaller accommodations during retirement, you should know that this is not your only option. According to My Mortgage Insider, upsizing is a viable option if you want to have space for your adult children and growing grandchildren.
Buying a bigger home will also give you room to spread out if you plan to entertain, garden, or pursue a hobby, such as woodworking, that you can’t do in a cramped condo or planned community. When you invest in space, you can have a dedicated workshop, home movie theater, or any other dream features you’ve always wanted but never had time to enjoy. As an added benefit, buying a larger home and land can help you cut some expenses if you plan to grow your own food and prioritize self-sufficiency.
Protect your assets.
If retirement is not fully on the table, you might want to consider running your business from home. This is especially prudent if you plan to buy a bigger house. Unfortunately, unless your business is structured as an LLC, your new home may be at risk if you suffer business losses because of the move or an economic downturn. Consider restructuring as an LLC – but check your state’s local rules – and use a formation service instead of an attorney to save money. In addition to asset protection, there are a few tax advantages of forming an LLC. Discussed these with your financial advisor.
You will also want to take steps to make sure that your home and other large assets (including your business) are earmarked for your family, friends, or designated charities. Although it is difficult to consider, in case of your untimely death, dying intestate can leave the vast majority of your assets up in the air. Prioritize estate planning and, as Fidelity suggests, make sure your beneficiaries know what you have so there are no surprises if the need arises.
Transitioning into retirement does not mean moving to a smaller home. In fact, you may be able to downsize your expenses while upsizing your living arrangement. Talk to your Realtor, research the area you’re interested in, and make a list of your priorities. Most of all, be prepared to move quickly. If you want to retire in San Francisco, you should know the market moves fast, and you don’t want to miss your ideal opportunity.
Decorate your home.
Your home was probably dedicated to your growing children in the years you raised a family. But now that your fledgelings have flown the nest, it’s a great opportunity to make sure your new home reflects your style, not your kids’ needs! Of course, interior design, as its name implies, is an art. It can be a little overwhelming to nail down your personal aesthetic and what you want to add to your home’s decor to make it a reflection of you. That’s why it can be helpful to work with an interior designer like Stephanie Sham of State of Design. To get started turning your new house into a home, contact Stephanie today!
*Guest post by Bob Shannon of Seniors Meet.