[OhioBuckeye]

Originally Posted by Chuck1674

You have 400k cash and 5k a month pension
Get a huge house with a mortgage.
Medium house with smaller mortgage.
Patio villa cash and 200 k in the bank.
What are your ideas? Do the kids and grandkids visit as much as u thought. That factors into it.

As a thumb of rule, normally your present home goes up in value so if your a senior like me most of us should own our present homes so for me a mortgage at 70 yrs. old is out of the question so I've paid cash for my next home. In fact sorry to say we just sold our home here in The Villages & moving out of state & yes I'm paying cash for my newly built home that we're moving into. This is just me, but to take out a mortgage is money lost & I would just be adding to the price of my new home. Besides if I would dye I don't want my wife or kids to have a mortgage. So to answer your question about the the kids & grandkids, that's why we're moving.

[richs631]

Originally Posted by Dionysos

We just went through a similar decision as well, albeit different sums. We wanted to be free and clear while heading into our fun years and decided to buy a CYV for cash plus put some into improvements. After 20 years of Mortgages we always felt like we had a landlord. If it was not the bank it was the insurance company. Now we make the terms

Really depends on how comfy you are with your pension and SS.

In the same situation with similar numbers. Fairly safe investments will bring you much more interest to offset the interest your paying on the mortgage As long as your comfortable making the mortgage payment, it’s a no brained. My mortgage interest is approximately $450 a month and interest on a 401K with $400,000 is about $6,000 per month

[ehendersonjr]

Family visits more often, especially after their first visit and they find out what The Villages is really like and how close we are to other Florida attractions. We’re booked up until July right now. My general rule of thumb for finances is to use other people’s money when it is less expensive than using my own.

[Lynndise]

We have a villa and love it. Not too big or small. Grandkids come rarely because of sports and other things at school. They only get 1-2 weeks vacation and parents the same. Go with a Villa and spend your money on yourselves while you can...putting some in the bank for “backup”.
Good luck. I’m sure you’ll make the right decision for yourselves!

[jebartle]

Originally Posted by Chuck1674

You have 400k cash and 5k a month pension
Get a huge house with a mortgage.
Medium house with smaller mortgage.
Patio villa cash and 200 k in the bank.
What are your ideas? Do the kids and grandkids visit as much as u thought. That factors into it.

Skip the typical Villager that down sizes twice b4 settling in home and go straight to having fun!

[david14221]

Buy a 3 br house. 30 yr mortgage. Come here 4 months...sept thru dec. Rent it out jan thru april. Do that until you collect social security and/or can get to ira or 401k money at 59.5...assuming you have that investment. Depending on mortgage rates, can refi to 15 year mortgage or add a few hundred each month to payment to cut down the number of years left on mortgage.

For better responsed, we really need more info.

[mikeritz53]

Look into a Reverse Mortgage to Purchase. All you pay are closing costs and you can keep your money in your Investments. With the Reverse Mortgage you have no Monthly Mortgage Payment (still have R.E. Taxes and Homeowners). This allows your monthly income to go a lot father and you still have all your 401k as a cushion.

[MEbner2805]

Buy a reasonable 3br house for under 360 and pay cash and save money for unsuspected medical issues as you will need it in time. You will want money to travel as well. Most don’t need a huge home to be happy here.

[Chuck1674]

No cola at the moment but they are working on getting it back. Cost of living adjustment.

[Don&Judy]

Get a mid-size home with a small mortgage. There's no reason to have a large house here. It's a waste of money. And no, the kids and grandkids don't visit as often as we expected. They're busy and live far away.

[Chuck1674]

Originally Posted by TNGary

Chuck, if you work at the current job you will accrue years toward your pension and since divorce is over you would not have to give you X any share of that amount, plus being at the top years of earning the math adds up quickly. Your thoughts??

No pension is already split. But the longer I work, her share goes down, but I am not vindictive. Some guys stay until 65 to spite the ex, just want to be free. Alimony stops when I retire.

[lindaelane]

Does your pension have a COLA? (few do) If not, keep in mind that if you are 65 now, at age 83 with 2.2 % (conservative estimate) inflation you will need $7,500 to buy with $5,000 buys today.

Do you know someone who is good with spreadsheets, or can you make a spreadsheet? Its not that hard (if the know how is there) to make a sheet projecting your annual income and assets into the future. It won't be a "perfeft predictor" but you can input things like what you think inflation will be, and what you think your investments will average to see where you may be.

[Chuck1674]

Originally Posted by Nucky

Get ready to protect your nest egg cause if you ever revealed your situation in person your Dance card would be full! Your gonna be great either way you go. Get ready to have a nice life again after the pain you've been thru or caused. A new fresh start. A new chapter, a fresh canvas. Don't screw it up trying to flash $$$ cause nobody down here cares. Good Luck.

Go with Modest, it's so much easier. We are gonna bump it up a notch in a couple of years but only a little bit. No Stressing over $$ Monies $$

Yes I am not flashy. I bought a 100k fixer upper to keep kids in their school system. Not they are finishing college and its time to move on. Looking forward to the fresh canvas. Plus I am a softball junkie. I will also enjoy playing more golf. Thanks all.

[Chuck1674]

Originally Posted by Villageswimmer

+1. You’ll sleep better at night without debt. Good luck in making your choice.

Yes I agree, just wish the PVs came with the big garage.

[bovelsky]

You must be 62 for a reverse mortage. I believe he stated he was 56