When individuals hit the age of retirement, they often wonder if they should make plans to downsize their homes or eventually move. If they are no longer connected to their job once they retire, is there a reason to stay in the same location?
This has been the case for many retirement-age individuals and there has been a substantial increase in people moving out of their home states, especially along the west coast.
Since 2019, Washington, Oregon and California have witnessed an exodus of people who have ended their long-term careers by retiring and decided to move onto a new lifestyle in a completely different state.
With everything that the west coast has to offer its residents, why would retirees choose to move?
Tippi The West Coast Is Expensive
Although you will receive retirement benefits and will be able to use retirement funds to live your life, living in places like California, Oregon and Washington can be very costly. From property taxes to the cost of gasoline, the west coast is one of the most expensive places to live. And if you don’t have to stay on the west coast for a job, why continue to pay a premium for everything?
People are choosing to leave these western states for areas with a lower cost of living where they can relax and live comfortably from a financial perspective. They will find better tax rates, a much more friendly grocery bill and the like. States like New Mexico, Colorado and Utah are reported to have a substantially lower cost of living compared to the west coast and have become home to many retirees for this exact reason.
If you live along the west coast, evaluate your expenses and decide if you should consider moving.
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Another reason people choose to move after they retire is to pursue an active lifestyle. Once you retire, it’s important for your physical health and mental well-being to remain active doing the things you enjoy. Consider the hobbies you enjoy today and decide if it makes sense to find your hobbies in another state. For example, those who love to hike, bike, ski and fish would thoroughly enjoy moving to one of the many 55 plus communities in Utah. These activities are made readily available and will keep you feeling young and lively.
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Although it may seem like moving is the best choice for you, there are a few things to consider before you commit to moving to another state.
First, you’ll need to sell your current home and decide how much you’ll invest into another home in another state. Second, you’ll need to prepare to change over your insurance policies, get a new driver’s license, re-register your vehicles, etc. Finally, if you are not too familiar with the area you’re moving to, there can be a steep learning curve. New neighborhoods, new roads, new restaurants, new grocery stores, etc. Be sure to consider all of these factors before you decide to make the move after you retire.
As you can see, there are a lot of factors that go into making the decision to move to another state once you retire. Take a look at your expenses, the type of lifestyle you want after you retire and if it makes the most sense for you to move.