Quote:
Originally Posted by JavaBrewer
Excluding the price of homes (assuming yours in SoCal is paid off) how much lower cost of living would you, retired, realize in SC? Or is this strictly about the house you can afford to retire in?
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Good point JavaBrewer, but it's more than just the quality of house I can retire in. It's about what can I do with the equity I have now. Don't underestimate the power of home prices.
I agree, home prices aside, the cost of living reduction may only be 10%, with higher summer and winter utility cost, maybe not even 10%. But...The current equity in my house is enough to pay cash for a very nice house in a golf community in Beaufort SC, pay cap-gains on the remainder, and still have a couple years of retirement income left over. That's huge.
If I stay here what does that equity get me? Although mortgage free yes...Just a smaller house. Do I want to go from what I have to a $700K one bedroom condo in Marina Del Rey, or a four bedroom tract house in Vista or Rancho Bernardo? No.
Your living in from San Diego, my mortgage in the Santa Rosa Valley probably wouldn't surprise you JavaBrewer, but how about when your income comes to a dead stop? Neither my wife nor I have a pension. We need to do it on 401K's, personal saving and investments...and the equity in our house.
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Craig T
Volvo V60 - Daily Driver (I love it!)
997 Turbo - FVD Exhaust, GIAC Tune - 542 dyno hp on 93 oct
1972 Chevy K-10 Pick-Up Truck Hugger Orange
