Our daily roundup of retirement news your clients may be thinking about.
Rent or buy? Tips for retired house-hunters While conventional wisdom says that buying a home is generally better than renting, some retirees may find the opposite is true in their situations. It is true that purchasing a home is about 35% cheaper than renting nationally for households with a 30-year, fixed-rate mortgage who move every seven years and can afford a 20% down payment, according to a this article. However, the caveat is that much of those benefits come from the accumulation of equity through long-term ownership, according to an expert. If retirees plan shorter stays, or have no heirs to pass on that equity, they may actually be better off renting, he adds. Plus, owning a home means spending money that retirees could use for recreation and travel, while renting offers perks such as flexibility to move. — The Wall Street Journal
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