What I'd like to know about what you said...
If Mr. Boomer sells to the illegal aliens in Indiana, and moves to Florida, buys retirement home cash, has a huge nest egg left over...Didn't the prices go up in Florida like his home did in Indiana?
Sure, prices did go up in Florida, and probably more so than in Indiana.
But who says he’s moving to Florida? What if he wants to stay in Indiana where his family members are? And what if he wants to get a smaller house or even a condo, so he doesn’t have to mow the lawn? then, he makes out well.
Even if he DOES move to Florida (or Arizona, or wherever), maybe by buying a SMALLER house or condo, he’ll still come out ahead, even with housing appreciation in the retirement areas.
He shouldn’t make a move if it’s not advantageous for him to do so. But if it is, that retiree may benefit from such a move.
Mr. Boomer plans to stay in Indiana and face what options Mr. Boomer has is one of many options.
If retirement savings and social security will cover the bills. Then thats fine.
If it won’t cover, then the food, medical, gas, and housing bill money will have to come from somewhere. (Continues to work, children sending money, reverse mortgage, etc, etc....)
The issues facing boomers and retirement can be very different depending on savings, region, and demographics. I know that.
No, but someone in Maryland or Cali can retire to somewhere like North Carolina using that method. It doesn’t work for everyone.