Retirement is expensive, and not everyone of retirement age feels financially prepared. If you’re a homeowner, though, we have good news. The equity in your home can help you reach your retirement goals. This is not financial advice, but this is something anyone with equity should at least know about. Let’s take a look at how this works, even if your home is distressed.
If you’re worried about the financials of retirement, you’re not alone.
According to the Retirement Industry Trust Association (RITA), “the average retirement age in the United States is 62 for retirees, while the expected retirement age for current workers is 64. The full retirement age is 67 for those born after 1959.” Many people approaching these ages do not feel financially prepared for retirement. In fact, RITA tells us that “1 out of 3 workers isn’t confident they’ll have enough money to be comfortable in retirement.” If you’re worried about the financials of retirement, it’s clear that you’re not alone. Luckily, we have good news: If you’re a homeowner, the equity in your home can help set you up to reach your retirement goals. Here’s why:
Homeowners have recently gained record amounts of equity.
Data from CoreLogic tells us that equity reached record levels this year. Home prices have gone up steadily since 2012, causing equity to go up steadily as well. CoreLogic tells us that “at the end of the first quarter of 2022, the average borrower had $280,000 in home equity—this is a gain of $64,000 over the past year and $125,000 over the past five years.” Of course, your exact numbers will be different, but if you’ve owned your home for at least a few years then you might be in a better financial situation than you realized. Here’s how your equity can help you reach your retirement goals:
You can cash in on your equity to fund your dream home or living situation.
This is the fun part. You get to decide what your retirement dream is, and then your equity can help make it happen. Do you want a smaller home that’s easier to manage? Do you want to move closer to family? Do you want to move to a warmer location, as many retirees like to do? Do you want to buy an RV and travel full-time? Selling a home with significant equity could help you accomplish any of these goals.
Can you still benefit from equity when you sell a distressed house?
If your house is distressed, you might be wondering if it can still help you reach your retirement goals. Luckily, it can. If you’ve owned your home a while, you likely have significant equity, no matter the condition of your house. You can still sell a distressed house to reach your retirement goals. There’s no easier way of doing this than to sell a distressed house to us at MarketPro Homebuyers. We buy homes for cash, as-is, regardless of condition.
And the best news is that you don’t have to spend any of your savings on home repairs or updates in order to sell it on the market.
Bottom line:
Retirement can be an uncertain time. If you’re currently a homeowner, though, you’re probably in better shape than you thought—even if your house is distressed. If you’d like to find out how much equity is in your home and see what your options are, we’d love to help. We can help you get set up to reach your retirement goals.
Work with MarketPro:
We’ll give you a fast cash offer for your current home just as it is now; no repairs, no upgrades, no inspection, no commissions or fees. You can even choose your exact closing date to coordinate perfectly with the purchase of your new home—or with the start of your big travel plans! Our team will walk you through your quote, including a review of what your home would likely bring on the open market.
If you’re in Washington, D.C., Maryland, Virginia, Pennsylvania, or Florida , we’d love to show you how easy and stress-free the sales process can be. Contact us today for a same-day, no-pressure quote.
