Retirement is an exciting time. This next chapter of life often includes less or no work, spending more time with loved ones, and dedicating time for hobbies and passion projects. For many Americans, it also means moving to a different home. Some want to downsize, while others want to move closer to family members or to a more desirable climate.

Here are some things to keep in mind before buying a home meant for your golden years.

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1. Your size needs

Downsizing is a common reason for moving during retirement. Many retirees find that they simply need less space than they did when they were younger. If a retiree is an empty-nester and their children are now older and living on their own, less space is likely necessary. A two- or three-bedroom home might be just enough space for a single retiree or a retired couple, offering a place for guests to stay the night. Plus, a smaller space is much easier to maintain. Not only is it easier to clean, but it’ll also require less electricity, heating, and cooling, so homeowners will likely save money, too.

However, some retirees may find that they need more space. If a retiree spent their working years in a smaller home, they may want a bigger home now that they can afford it. Since many Americans pick up hobbies in their retired years, a homebuyer might consider extra bedrooms to accommodate crafts. Or, if the homebuyer is anticipating frequent family or friend visits, extra bedrooms will provide space for loved ones.

2. Your budget

Of course, a homebuyer cannot reasonably move forward with a home purchase without considering their budget. However, retired folks often have different budgeting concerns than working homebuyers.

If a retiree is lucky enough to have a pension, that regular income will help with mortgage payments. But with only 21 percent of Americans receiving a pension, retirees are likely going to have to use their retirement savings to cover the costs of housing. Since budgeting like this can be stressful and complicated, the retiree might consider speaking with a financial advisor before jumping into the home buying process.

3. Your retirement priorities

Everyone has different reasons for retiring when they do. A retiree’s priorities during this next chapter will greatly influence what kind of home they look for and where they purchase.

If a retiree is looking to spend more time with family, moving closer to children and grandkids makes the most sense. If they’re hoping to escape harsh winters and spend more time outdoors, a change in climate might be at the top of the list. Goals surrounding hobbies and passions may mean they’re looking for a home with a generous garage that offers enough space for a wood shop.

4. Your location needs

If a retiree is planning on staying in the same general area, they probably aren’t thinking twice about the location’s amenities. But those planning on moving to a new state or city will have to consider what the area has to offer. Access to healthcare and hospitals, proximity to nature, and walkability are some of the many things that retired home buyers should look into before buying a home.

5. Community

Humans are a social species. We need other people. And moving to another city can make staying social difficult if retirees are not proactive in creating a community for themselves. While some retirees may want a home that is private and secluded, others will want to ask themselves about how important community is to them.

Living in an HOA-style community can help to build friendships, but so can small cul-de-sac neighborhoods or urban locales. If a home’s location doesn’t necessarily lend itself to neighborly relationships, be sure to research community-oriented programs in the area.

6. How the move will impact loved ones

While retirement should focus on your own wants and needs, it’s nearly impossible to completely forget about your loved ones in the process. If you’ve been helping out your grandchildren that live down the road, you may need to sit down with your children and discuss that you’re planning on moving away from town. Alternatively, if you’re planning on moving closer to your children and grandchildren, you should discuss where you’re looking before becoming next door neighbors.

A move that is motivated by proximity to loved ones warrants an honest conversation. Moving closer to friends who live out of state may sound like a great idea in theory, but those friends might have long-term plans that involve a move of their own.

7. Maintenance

Retirees that don’t want to spend their golden years taking care of landscaping and leaky roofs should take that into account before buying. This may mean that they look into condos or townhome communities in an HOA. Homeowners associations often get a bad rap — and sometimes for good reason — but they can be extremely desirable for folks that want a low-maintenance living situation.

Always ask what the HOA covers and what the fees are before jumping headfirst into a community. Some HOAs cover home repairs and lawn maintenance, while others are more minimal.

8. The current state of the market

No one is immune from difficulty buying and selling due to the state of the market. Folks who feel ready to retire and make a physical move, but don’t want to buy with interest rates at nearly 7 percent, may want to consider renting first. There’s nothing wrong with renting until a retiree feels ready to purchase a new home. Doing so can allow a retiree to start the next chapter of their life without being held back by interest rates, low inventory, or other factors out of the home seeker’s control.

9. What you’ll do with your current home

For many retirees looking to move on to a home that better suits their new lifestyle, selling their old home is a no-brainer. Selling typically means homeowners will get a sizable chunk of cash that can be put toward their new home, and many people do not feel like they need more than one real estate asset.

However, selling isn’t always right for everyone. Many people choose to hang onto their old home for a number of reasons. Maybe they feel emotionally attached to it, or maybe they want to gift it to their children or grandchildren. Whatever the reason may be, it ought to be considered before selling. Not everyone needs to sell in order to afford their new home. Some even choose to rent their old home out, allowing for a stream of income that can be put toward the mortgage on their retirement abode.

10. Everything involved in a move

Moving is one of the most stressful events that people have to endure. A 2020 survey found that 45 percent of respondents considered moving to be the most stressful thing in life. There is a lot involved in a move — parsing through years of accumulated items, having to purchase new furniture to suit a different home, hiring people to carefully pack your things, and doing plenty of packing of your own. Moving seems to require an endless amount of time, energy, and money.

And for some retirees, that simply may not be worth it yet. There’s nothing wrong with waiting to move to avoid the stress and the toll it takes on a person’s life. In fact, going slow and taking your time might be the better route. If you’re thinking about moving but it seems like too much to handle, consider going through your belongings for a few months first. Then, once you’re ready to move, you’ll at least have a bit of weight off your back.

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