When talking about real estate, you have likely heard the widely used phrase “location, location, location.” What realtors mean by this is that identical homes may have very different prices depending upon location. In fact, retirees need a new mantra when making housing decisions, “cash flow, cash flow, cash flow.” Cash flow is king in retirement. Since most homeowners want to age in place and not rent, let’s take a look at why “cash flow, cash flow, cash flow” should replace “location, location, location” in choosing retirement housing. The second retiree housing cash flow factor is debt management. Every year an increasing proportion of retirees are entering retirement with a mortgage; the required mortgage payments throughout retirement put a serious strain on cash flow.

Source: Forbes December 05, 2017 15:00 UTC