Building Your Retirement-For several years now, CSenior planning dream homeanada’s population of 65-and-overs has been increasing at rapid rates. In fact, in 2015, according to Statistics Canada, there were more Canadians over the age of 65 than there were those under the age of 15. A pace that has only been growing since 2011. Coincidentally, as the Canadian population grows older, the number of Canadian retirees will rise. So, are you someone who is approaching the first stages of retirement? More importantly, are you ready to retire? Are you ready to start building your retirement home?

One of the biggest decisions an individual(s) will make upon retirement is purchasing their retirement home. It’s important to consider all of the factors involved. When do you plan to retire? Within the next 5 years? 10? Do you and your spouse share the same retirement dream? Where would you like to retire? Do you have the proper financial plan?

According to Zillow Porchlight, you might want to consider buying your retirement home before you retire. Why? Not only will a decision such as this pay off for you in the long-term, it will also allow you “to capitalize on today’s record-low interest rates. Rates on 30-year fixed mortgages have dropped to an average of 3.41%”. Moreover, if you look into buying your retirement home while you’re still employed, the mortgage lenders who evaluate your loan application will consider your debt-to-income ratio and visibly see a much lower, favourable number. As Mortgage Lender and Chief Operating Officer at New America Financial, Todd Sheinin puts it: “by waiting until you’re retired to apply for a mortgage, you could be limiting what size loan you can qualify for”.

If you feel financially ready to purchase your retirement home, that’s commendable. Once less step in your retirement process to worry about. This means you’ve had many a conversation with your spouse about “when’s” of planning and pre-planning. During these conversations, however, it’s also important to talk about the “where’s” and “how’s”. Location is a key attribute to any retirement plan. If your dream is to live in the mountains, yet it’s your spouse’s to live on the beach, that’s something you have to talk about in order to find common ground. The same goes for living near your friends, your family, your grandkids – versus, not. Have you tested out your ideal retirement location? What if you long for the mountain air while residing along the beach? According to Market Watch, it’s important to do your research

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