A retired couple who moved from New York’s Hudson Valley to Colorado decided to move once again because of climbing rental costs, and bought a home in coastal Florida.
But as an interracial couple, Kate Ferriter says that she and her husband, Terry Moore, felt unwelcome in their new neighborhood.
“The prejudice, the insults, the blatant racism there was really something,” Ferriter told The New York Times. (1)
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So, they moved again — this time to New Mexico. Here, it was the climate that didn’t agree with them.
Finally, they relocated to rural Connecticut, “where we didn’t want to be, but here we are because we just didn’t have anywhere to go,” Ferriter said. Moving back to Hudson Valley was a non-starter, since homes had become too expensive.
While they don’t know what’s next, the couple says they anticipate yet another move because the property has become difficult to manage in their old age. Here are a few considerations for retirees who don’t want to get stuck in the relocation trial-and-error trap.
5 things retirees get wrong about moving
According to a survey published by the Transamerica Institute, 38% of retirees have moved to a new home. (2) Among those who moved, top reasons included being closer to family and friends (36%), downsizing into a smaller home (33%), reducing costs (26%) and living in a better climate (20%).
Before settling on a destination, here are 5 things retirees should consider before a move:
1. The high cost of moving: Moving is costly. Depending on the size of the move and location, it can cost thousands of dollars to relocate. Costs can be even higher for seniors who might depend on a full-service moving company to help them pack and unpack their belongings.
2. A tough housing market: Once you’ve found a new house in your new city or state, you have to sell your existing home, which isn’t always easy — and may not fetch the price you were hoping for, especially in the current sluggish housing market.
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3. Unrealistic expectations: The idea of spending lazy days on a palm-lined Florida beach appeals to many. But are you prepared for the realities of living in the state? Sweltering summers, extreme weather events, high living costs and even politics may be turn offs.
4. Friends and family: While a new house and nice weather may be contributing factors to a move in retirement, social connections contribute a lot to a person’s happiness. Consider the effect a move might have on your social life, especially if it means being farther away from friends and family.
5. You might not be able to go back: If you’re one of those people who discovered the grass is not greener after your move, you might want to move back to your old neighborhood. But, as the couple interviewed by The Times discovered, you may have been priced out of the market while you were away.
How to skip the trial-and-error trap
You can mitigate some of the risks of relocation with a bit of planning. Spend some time thinking about your needs and goals in retirement. For instance, maybe you want to move somewhere with a more temperate climate, but will that make up for moving away from friends and family? Will you still be able to pursue your interests and hobbies?
As you consider locations, be sure you thoroughly research the cost of living, including taxes and insurance. What’s the income tax rate? Does the state tax Social Security and/or pension income?
Medicare Part A (hospital insurance) and Part B (medical insurance) offer the same coverage in all states, but you may need to find a new provider. You may also need to find new coverage for Part D prescription drug plans, Medicare Advantage or Medigap.
In addition to factoring in the cost of the move, also factor in the cost of traveling back and forth to see family or friends (or if you have to travel to see a medical specialist).
Once you find a desireable place to move, it may be worth doing a trial run. Rent for a month or two in the location and see if it lives up to your expectations. Also consider renting in the off season, so you get a sense of what it’s like when the weather isn’t at its best.
Be honest with yourself. Do you think you’ll still like it in a few years? Will minor annoyances or dislikes become major pains over time? Do you think you’ll be able to make new friends? If you’ve done your homework and given the new location a solid test run, you may stand a better chance of enjoying your new life.
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Article sources
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The New York Times (1; Transamerica Institute (2)
This article originally appeared on Moneywise.com under the title: NY couple in their 70s have already moved 4 times in retirement. Here are 5 things retirees get wrong about relocating
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