Anyone pondering moving to a cheaper place and downsizing?

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UpperNwGuy
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Re: Anyone pondering moving to a cheaper place and downsizing?

Post by UpperNwGuy » Wed Jan 17, 2018 10:03 am

Arabesque wrote:
Wed Jan 17, 2018 9:09 am
I was fussing about whether I had enough money to retire and maintain my life style when it occurred to me that I could move to my condo in a HCOL city in a HCOL state. If I sold the LCOL suburban 3BR house and moved to my old, investment 1 BR condo (not fancy, but well located with reasonable fees and taxes), I would be rolling in money. I would get rid of the car and use public transportation (senior pass $30/month) or walk. Expenses for lawn, roofs, snow removal, heating, etc would decline or disappear. And the health care, social services, and amenities are much better in a city.

I would be free to travel without concern for the building; my time spent on maintaing or cleaning would be tiny. Any guest who couldn't sleep on a blowup mattress could get put up in a hotel. I wish there was more room for family visiting, but I am not anticipating having my children move in with me, given the circumstances.

HCOL doesn't always mean more expensive.
This is my life since retiring! Thanks, Arabesque, for describing it so eloquently!

IlliniDave
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Re: Anyone pondering moving to a cheaper place and downsizing?

Post by IlliniDave » Wed Jan 17, 2018 12:51 pm

I live in a LCOL area now, but intent to move to a similar COL area and downsize significantly (which will put me about on par with my current COL). It's the path to early retirement for me.
Don't do something. Just stand there!

hfj
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Re: Anyone pondering moving to a cheaper place and downsizing?

Post by hfj » Wed Jan 17, 2018 1:52 pm

I had more thoughts of moving out of the area and going into early retirement in my 30's. I think it was mainly a combination of a decent amount of home equity (Bay Area) and some stressful times at work.

Now in my 40's with kids about to go off to college, my thinking is different. The house is paid off and we're in pretty good shape financially. While I might still retire early-ish, besides friends/family in the area, most of the things I like to do while I'm physically able are around here. I'd want to continue to play in my pick-up games and soccer league (it's a rec league, with some guys in their 60's/70's still going strong). The road cycling is really good. The weather is nice. We're not far from the airport and there are plenty of direct flights to Asia as we look to travel more. We'd like to spend more time skiing in Tahoe. So while may eventually move and/or downsize, the current plan is to stay.

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El Greco
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Re: Anyone pondering moving to a cheaper place and downsizing?

Post by El Greco » Thu Jan 18, 2018 4:49 pm

Post by tennisplyr » Tue Jan 16, 2018 7:12 pm

Just did this over the past year. Sold in NY and moved to FL. Bigger house, taxes 1/6 of NY property taxes, no heating bill, no state income tax, low utility bills, low insurance costs, etc etc. one of the best decisions eva!!
Sounds great tennisplyr! It also sounds like we have a lot in common. I too seriously started saving a little late in the game but am doing pretty good right now. I'm also a long time Long Islander looking to pull the retirement trigger in a couple of years and thinking about downsizing (expense-wise) to Sarasota Florida. Been there once for a couple of days and kind of liked it. DW and I plan to do a more extensive fact-finding mission within the next year. BTW, always enjoy your posts and positive "can-do" attitude. And I dig your avatar, too!

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MortgageOnBlack
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Re: Anyone pondering moving to a cheaper place and downsizing?

Post by MortgageOnBlack » Thu Jan 18, 2018 5:00 pm

tennisplyr wrote:
Tue Jan 16, 2018 7:12 pm
Just did this over the past year. Sold in NY and moved to FL. Bigger house, taxes 1/6 of NY property taxes, no heating bill, no state income tax, low utility bills, low insurance costs, etc etc. one of the best decisions eva!!
Just got back from a trip to Tampa for the New Year. Sarasota is a great place. We had a really great time at the Daqueri Deck in Siesta Key! :mrgreen:

madbrain
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Re: Anyone pondering moving to a cheaper place and downsizing?

Post by madbrain » Thu Jan 18, 2018 5:02 pm

Yes. Have about $3M net worth, the majority of it tied up in home equity and retirement accounts. We live in the bay area in a big place. Firecalc shows 0% chance of success at current burn rate vs investment accounts balance. No reverse mortgage possible at age 41. Debt to income ratio means home equity is inaccessible. I have a $200K HELOC and that's the max I could get.
I have had many health issues, including HIV and others. Haven't got a raise in 4 years. Fatigue means I'm too tired on many days. My new boss at Megacorp has put me on performance improvement plan that will likely result in my impending termination. I have interviewed for other jobs but just can't make it all the way to the finish line - one bad day is enough to disqualify me at either the first or second round of interview. So it looks like after 22 years in the software industry, I'm done for. I expected to last until 50, not 41. My husband also hasn't worked for years and I have been the breadwinner. If I get terminated and can't find another job that pays similarly in the next year or so, I won't be just downsizing, but moving, and far. There aren't any LCOL places in the US that I likely could stand to live in. All the LCOL are in states that haven't expanded Medicaid and don't take care of their citizen's health. I have dual citizenship with France, and they would take care of our healthcare but cost of living overall there is higher than the bay area for everything else. We have visa exemptions for Vietnam, but health system there sucks. Thailand is on our list too, but I just don't know enough about the logistics and immigration policy. I do know from personal experience that Thailand's healthcare is very good.

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tennisplyr
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Re: Anyone pondering moving to a cheaper place and downsizing?

Post by tennisplyr » Thu Jan 18, 2018 5:08 pm

MortgageOnBlack wrote:
Thu Jan 18, 2018 5:00 pm
tennisplyr wrote:
Tue Jan 16, 2018 7:12 pm
Just did this over the past year. Sold in NY and moved to FL. Bigger house, taxes 1/6 of NY property taxes, no heating bill, no state income tax, low utility bills, low insurance costs, etc etc. one of the best decisions eva!!
Just got back from a trip to Tampa for the New Year. Sarasota is a great place. We had a really great time at the Daqueri Deck in Siesta Key! :mrgreen:
Very blessed to live here, my roughest moments are when I lose a tennis match :annoyed
Those who move forward with a happy spirit will find that things always work out.

Trev H
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Re: Anyone pondering moving to a cheaper place and downsizing?

Post by Trev H » Thu Jan 18, 2018 5:19 pm

In 1997 we bought 30 acres of land out in the country... and paid that off quickly.

In 2001 we built a new house on our land, 3000+ SF, Brick, nice home. We paid off in 2016. So we have ALL the Equity in our home.

56 year old now.. thinking more and more about retirement, but planning to do that around age 62,

One of our two kids has grown up, married and moved out... we have a 16 year old son who of course is still at home and may be for who knows how many more years. When he does finish school, and move out... we will for sure get serious about selling our house (and around 10 acres of land).

We will still have 20 acres of land that has several good building sites on it... we could build on one of those (downsize to something reasonable for just the two of us). We could build in one location on our property, and sell 2-3 parcels of land from the rest of our property that has good building sites on it (with electric and water available now).

That will be the BOOM that gets me to the point of being in good shape for retirement... hopefully sometime in the next 5-10 years.

Trev H

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Ditchwitch
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Re: Anyone pondering moving to a cheaper place and downsizing?

Post by Ditchwitch » Thu Jan 18, 2018 6:06 pm

Sandtrap wrote:
Tue Jan 16, 2018 9:54 pm
6 years ago. Left our main residence in UHCOL Hawaii and moved to a mini ranch in LCOL Prescott AZ. (northern AZ), about 2 hours north of hot Phoenix.

Prescott, A small retirement town of 50,000 residents nestled a mile high in the Bradshaw Mountains, surrounded by 4 National forests.

Where all the men are aged but strong, all the women elegant and ride horses, and all the children are. . .above average.

j :D
Heard a lot of good things about Prescott, sounds like a great place to live. I might miss living close to the beautiful blue Pacific ocean though... :(
“Anyone who has never made a mistake has never tried anything new.” | ― Albert Einstein

CFM300
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Re: Anyone pondering moving to a cheaper place and downsizing?

Post by CFM300 » Thu Jan 18, 2018 6:26 pm

Madbrain,

With $3 million in net worth, there are lots of places you could retire in the U.S., including states that expanded Medicare. If you *want* to live in Thailand, great, but I don't think you have to.

MathWizard
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Re: Anyone pondering moving to a cheaper place and downsizing?

Post by MathWizard » Thu Jan 18, 2018 6:30 pm

We plan on downsizing as we get older, to have less to take care of, since we won't need the space for
children, and we can always use hotels for the occasional extra sleeping space.

If we are on the knife's edge of making it, we have considered moving back to the state where we grew up, since it does not have
a state income tax, Outside of that edge case though, we will likely stay where we raised our family, and in the community in which we were
involved as working adults.

madbrain
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Re: Anyone pondering moving to a cheaper place and downsizing?

Post by madbrain » Thu Jan 18, 2018 6:42 pm

CFM300 wrote:
Thu Jan 18, 2018 6:26 pm
Madbrain,

With $3 million in net worth, there are lots of places you could retire in the U.S., including states that expanded Medicare. If you *want* to live in Thailand, great, but I don't think you have to.
The $3M isn't currently liquid, though more than half would be if I sold my house to move. I'm all ears about those other places. My body does have a hard time with cold climates, though, and if it ever gets below 30F during the day on a regular basis, I would probably have to cross it off my list. I think that limits me to places not too far inland or too far north.

I love Thailand, but I have only been there 4 times and just don't know yet if I want to be there year round.

CFM300
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Re: Anyone pondering moving to a cheaper place and downsizing?

Post by CFM300 » Thu Jan 18, 2018 6:56 pm

madbrain wrote:
Thu Jan 18, 2018 6:42 pm
I'm all ears about those other places. My body does have a hard time with cold climates, though, and if it ever gets below 30F during the day on a regular basis, I would probably have to cross it off my list. I think that limits me to places not too far inland or too far north.
Santa Fe or Albuquerque in New Mexico. Phoenix or Tuscon in Arizona. Las Vegas or Reno in Nevada. There are smaller places in each of those states, of course. Depends on what you're looking for besides Medicare expansion and non-cold. You could probably find a place in California, as well. Palm Springs, Ventura, San Diego, etc. Depends on what sort of house and amenities you want.
I love Thailand, but I have only been there 4 times and just don't know yet if I want to be there year round.
I love Thailand too. But the year-round heat and humidity would be too much for me.

madbrain
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Re: Anyone pondering moving to a cheaper place and downsizing?

Post by madbrain » Thu Jan 18, 2018 7:13 pm

CFM300 wrote:
Thu Jan 18, 2018 6:56 pm
madbrain wrote:
Thu Jan 18, 2018 6:42 pm
I'm all ears about those other places. My body does have a hard time with cold climates, though, and if it ever gets below 30F during the day on a regular basis, I would probably have to cross it off my list. I think that limits me to places not too far inland or too far north.
Santa Fe or Albuquerque in New Mexico. Phoenix or Tuscon in Arizona. Las Vegas or Reno in Nevada. There are smaller places in each of those states, of course. Depends on what you're looking for besides Medicare expansion and non-cold. You could probably find a place in California, as well. Palm Springs, Ventura, San Diego, etc. Depends on what sort of house and amenities you want.
Thanks, I will look at those other places. San Diego would most likely be too expensive. Amenities we would require - difficult to say at this time since so much is up in the air still.
I love Thailand too. But the year-round heat and humidity would be too much for me.
Well, I can tolerate hot and humid much better than cold weather.

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