There Are Creative Choices For Senior Housing Now

Housing during retirement is a major issue that requires thought.

By JIM PURCELL

Sustainability is the key to succeeding in retirement. I was born in 1966, so there was not this solid sense of what should be done when thinking about retirement. My mother and father were both in good union jobs, and they bought an affordable house in the Jersey suburbs at a time when housing was pretty cheap compared to their take-home pays. Success was very attainable.

Through the years, the housing my parents bought, like so many others, accrued a lot more value. When they eventually sold it, since it was free and clear, and combined with their pensions and Social Security -- well, there was not a lot of drama about retirement. They could financially afford to retire.

Alright, flash-forward 30-plus years. There are no unions. There are darn few pensions anyone has anymore and Social Security has not kept pace with the economy when it comes to the cost of living. I lost my housing due to a job loss and a relationship break-up and I have been a renter ever since. However, there is hope: Because, when retirement is re-examined in a 21st century light, retirement can still be done. The word for this century is 'sustainability.'

'The 'tried-and-true' version of retirement may well work for some, but not for others.'

Like many parents, mine could have opted to sell their place in New Jersey and find a smaller home in a gated community in Florida. Hindsight being 20/20 they should have done it. That was then and this is now. There are alternatives to renting, and that, of course, is buying. The "Tiny Home Movement" is something to take a look at.

One example of a "Tiny Home"

Tiny Homes will not be for everyone: Some of them are actually built on wheels while others are constructed like homes...just smaller. If someone were to buy a small patch of property in a state (like North Carolina, for instance) where property taxes are easy enough to live with then there is value there. The same can be said for mobile homes, which lack a regular home's price point, but these days are just as presentable and comfortable as brick and mortar homes. Again, the bullet to duck here is monthly park fees and the like. Whether it is a monthly park fee, a monthly rent or a monthly mortgage -- the terrible word in this equation is 'monthly.' Owning one's own residence is a must for real sustainability in retirement. OK, so there isn't the same amount of money out there as there was a half-century ago -- that is the time to be more innovative and not less.

One example of a double-wide mobile home

A landlord is always a landlord, and the best landlord in the world still owns the property you call home and that is no way to live in this world. The 'tried-and-true' version of retirement may well work for some, but not for others. I am one of those 'others' and I am pretty sure I am not alone.

Where each of us lives allows us a great amount of the lifestyle we either choose to live or choose to not live. I am not ready to be a renter for the rest of my days and live in a way where my income will be so restrictive that my life in retirement is just as complicated as my working life. So, while I have not decided which option I will personally use, I know this -- I am only going to spend my money once and not 12 times a year.

The average construction costs for a Tiny Home is $20,000. This is not including utility hook-ups or any of that -- just the average cost for building a tiny home. Generally, Tiny Homes run between 325 and 700 feet from what I can tell.

The average price of a new, double-wide manufactured mobile home ranges between $37,000 and $73,600. Of course, in the used market, depending on the shape of the mobile home, its location and several other factors, that price will change downward.

What will not change is this: States that have the lowest property taxes include: New Hampshire, Connecticut, Wisconsin, Texas, Nebraska and Michigan, to name a few. Meanwhile, states with no property taxes include: Hawaii, Alabama, Louisiana, South Carolina and Virginia, among others.

I say this all the time to other people looking into retirement: Just because you have lived someplace your whole life does not mean it was meant for you in retirement. Looking at things from a strictly financial dynamic, it makes no sense to buy any real-estate in my home state of New Jersey and attempt retirement. In fact, New Jerseyians that spend their retirement years here find someplace where the dollar does not stretch very far and the notion of actually buying property here with the state's high tax rate makes it impractical to find that last home.

Yes, there are government programs to help seniors. However, I think this administration, in particular, has brought into the light that every single government housing program can be wiped away with one administration's disapproval. Yet, where we live in retirement, and whether we retire in dignity or not, is still the main concern for retired persons. So, no, I choose not to put my faith in senior renting initiatives or anything like that. It has been proven they can dry up and blow away without so much as a warning. I am going to to make my own way and install solar onto anywhere I end up buying.

The world has changed. I have very fond memories of younger days and better ways. But, those days reside solidly along Memory Lane and that isn't an address I can live on. So, I am finding the best way for me in this world. It is said that seniors are among our most vulnerable populations. Implicit in such a statement is that there will be some regard by younger people for the welfare of older people. I think my generation and a little older knows it is better to take our chances with our own talent, skill and creativity in the long run than handing over our individual futures to people who are not us.

Thanks, and if anyone has any questions or want some websites to check out, feel free to e-mail me at thepurcellchronicles@gmail.com.