Senior citizens may feel a bit foolish looking to purchase their first home, but the truth is there is no reason to feel this way. Buying residential property is an investment like any other, and it can provide a payoff by helping people of any age meet their personal goals. A report from the National Association of Realtors found that people over the age of 52 made up nearly one-fourth of first-time buyers, so California seniors should not feel out of place in making this move.
There are special concerns for seniors looking to make this long-term investment in residential real estate. Unlike with a young, growing family where moves and rising income are expected, seniors are often looking at the first home as their last. They also may face stagnant, declining or at the least not rapidly increasing income. Other considerations include distance to and accommodations for friends and family, potential for loss of mobility and ability to maintain any given property.
These concerns lead some seniors to choose a residential development designed specifically to provide maintenance and meet mobility needs. Others may choose to forego the extra expenses of community-oriented developments and their more complex contract terms. Depending on the current and projected lifestyle, a more traditional subdivision near loved ones may make a better choice.
As with anyone looking to buy a home, seniors i must primarily consider how much they can afford. This can involve budget projections and borrowing against retirement savings. An attorney with experience in residential real estate law may be able to help California seniors plan for and meet their goals without taking on undue risks.