CNBC Poll: Will You Be Able to Afford a Retirement Home?
With residential real estate prices still historically low in traditionally alluring retirement spots like Florida, North Carolina, Arizona and California, baby boomers have been shifting their investment capital from the stock market to a second home — which, they hope, will morph into a secondary, seasonal residence or even a primary one when they officially retire.
The operating assumption is that with prices and interest rates low, the property will appreciate nicely in the years and even decades ahead, while providing an inexpensive vacation getaway during the remaining working years.
In some markets, the properties can also provide year-round or monthly rental income, offsetting mortgage, maintenance and tax costs.
Of course, the move takes cash and courage.
What do you think?