The loan won't be for 30 years. You will die before that. You have to be 62 to take one out.
You again confirm you don't understand.
I'm out with you. Waste somebody else's' time.
South Florida, a senior enclave, sees more people ‘unretiring’ due to living costs
- Thread starter Dave Hess
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The loan won't be for 30 years. You will die before that. You have to be 62 to take one out.
You again confirm you don't understand.
I'm out with you. Waste somebody else's' time.
I'm confused... How do you pay rent when you are older? And what if your rent goes up?
Let me know how long you want to run the loan. If you understood finance, you would know that it doesn't matter whether the loan is for one day, or ten thousand, the impact is the same. Reverse mortgages are something to be very careful with. Your ad hominem attacks probably indicate that you are avoiding the truth here.
Too many folks thinks their way is the best or only way.
How is it any different than an 18 year old in an apartment? You pay the rent and live there.
There are all kinds of senior apartments - from one thats pretty much just a apartment but the residents are 55+ to partial assisted living (like meals delivered and cleaning) to full assisted.
Not sure how its any different. If you have the money you pay. I imagine there are some state programs for low income folks, just like other ages?
Folks can still save over 35 years with a 401K and have a substantial amount of money.
I’m lucky to have 2 pensions plus a 401K.
I had union benefits but was not a union member.
I still think you can teach part time at a well known university and spread your knowledge.
Not for the money…..
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It's rough I mean how many of us have joked, and I mean joked, that we would be the Walmart greeter after retirement. But as I've gotten older, I've thought to myself, that's not funny. I accept that I have to go to Walmart to get the store brand DOT 3 brake fluid because it's the best price on the planet, but do I want to work there after retirement?
I got a letter from Fisher Investments telling me that I am a wealthy American (bet scores of folks here got the same letter), and that I have out-saved and out invested my peers. I cracked up and for a moment I wondered if this is generated from credit score, or is net worth really something that is in this day and age easily found out there on the web.
I can't help but feel the joke is on us, because people who enjoy a materialistic life aren't going to be paying it back in their lifetimes. How else?
I'm old fashioned so I do value education, just feel that someone has to know how to do things. Just the other day someone said pv=nrt. For me, v=ir is a valuable thing to know. They were basic in our day.
One thing that drives me nuts at work? When I hear, "Who cares, it's not my money." Ever heard of people sending packages next day air when the recipient is 35 miles up the turnpike? I work with them.
It did seem to be a south Florida thing because the number was eye-opening on how many retirees work.
Patman
Staff member
I’ll never forget the time I was in a McDonald’s in Fort Myers and saw a woman working there who had to be about 90 years old. And she didn’t appear to be doing the job just for fun either like some retired people do.
I retired last year at age 53 and just recently my ex wife started a tour company in the Niagara region and she asked me if I wanted to work part time for her for fun and extra pocket money and I jumped at the chance! It’s a lot of fun doing walking tours, meeting people from all around the world and showing them the historic sites of Niagara on the Lake. We also do “foodie tours” and winery tours as well. I’m glad to help her build up her new business and even though I’m debt free and own my apartment outright it never hurts to have a little bit of extra money for gas for the Corvette
I retired last year at age 53 and just recently my ex wife started a tour company in the Niagara region and she asked me if I wanted to work part time for her for fun and extra pocket money and I jumped at the chance! It’s a lot of fun doing walking tours, meeting people from all around the world and showing them the historic sites of Niagara on the Lake. We also do “foodie tours” and winery tours as well. I’m glad to help her build up her new business and even though I’m debt free and own my apartment outright it never hurts to have a little bit of extra money for gas for the Corvette
There is that. But it's human nature. People here aren't bragging, or laughing at those people in FL and elsewhere.
Me? If lazy me can do it, most people should be able to. Is it bragging when I say something about being successful in a couple things in life? My youngest daughter said the other day "You and mom are rich" and of course we said yes in some ways - yes we are, lots of love, good family grand kid(s), travel, good health (sore today, stiff!) Then I said monetarily we are comfortable. In the whole world of $ any American, Canadian, westerner, large swaths or Asia now - with any savings at all, low/no debt, some tangible assets is of course "rich".
They can but did they when their pensions were pulled. My point is they ripped out pensions and offered optional 401k many without any match or contribution by employer.
This happened in late 70s when folks did not have internet just newspapers, magazines and TV.
Mmm… like most things, it depends.
A 3.25% mortgage is awfully cheap in light of recent (and potential future) inflation, or even without considering inflation. The interest is deductible, so the real cost of that mortgage is down around 2%, depending on tax bracket.
Paying off that mortgage is a guaranteed very low return on the investment. There are a great variety of investments with far better returns.
I would rather invest the money, than pay off a mortgage at that rate.
How common was this?
How many people really were in line to get pensions?
How many people paid into a pension and lost it completely?
How many were offered 401Ks with zero matching?
+++++++++++++++++++++++++++++++++++++++++++++++++++++++++++++
In long term reality 401K's and IRA's are the best things that ever happened for American workers willing to save money for retirement.
Per the article "“Senior citizens, among other things, are fighting housing affordability costs driven upward by rising condo assessments, higher rents and maintenance costs, and back-breaking insurance premiums on multiple fronts,” the article explained."
How many retirees do you know that can afford a six-figure assessment? I'm going to guess, not many. The reassessment on these older condo projects are even forcing some seniors to sell.
Now, run the numbers on that same 100,000, 30 years, and a conservatively low market return of 8% on a similar calculator.
Look at the total after 30 years of compounding returns. (It’s a hair over $1,000,000).
Subtract 446,774 from that total.
See how big the delta is?
You are ahead by over half a million by investing vs. paying off the loan.
And that’s at 8%.
At 10% return (the historic average for the S&P), and the total is about $1.7 million, and you’re ahead by well over a million.
What’s nonsensical is failure to see the benefit of the arbitrage, of analyzing the best place to put your money.
An example - my own - starting 17 years ago, we got married and started investing modestly.
Now, we could have done what you suggest, and applied that investment portion of our cash flow into pre-paying the mortgage. We would have it paid off about now.
But we chose to invest. The result?
Our portfolio has a value that is more than ten times our current (3.25% refinanced) mortgage. About five times the total value of our house.
In your method, we would have a paid off house. No portfolio.
We are much father ahead because we invested. We could now pay off the mortgage and still have a substantial portfolio. We have about ten times the money that paying off the mortgage would have yielded.
It’s not even close
So? Those posts are members showing how they are able to avoid the situations in the article.
Is there nothing that you’ve learned from those posts?
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