Building Trends by Judith B. Harrington and Stanley J. Steinberg, C.F.P

A lot of real estate money is about to change hands as boomers go through the transition from working full-time to working part-time, traveling more, and generally rewriting the game plan for where they want to be and how long they want to be there. Housing choices will reflect this transition. As mentioned previously, some will need to take care of aging relatives just as their own children are setting off on their life journey. Having an elderly parent move in may not be a satisfactory solution. An in-law apartment or guest cottage may be a better bet. Homes may need to be retrofitted, or new houses designed with wider doorways, no door jams, single-floor living, and lever handles to accommodate older residents' needs.

In some instances the McMansion on the cul-de-sac will be sold as soon as possible to get out from under onerous real estate taxes. It may have been worth carrying the load so that the kids got the benefit of a top-notch public school system, but once those days are over it may make better economic sense to cash out the big house and split the dollars into purchasing two condos — one in the city and one at the beach.

Getting rid of the big house does not necessarily mean spending less on the new smaller place. Downtown condos in most major cities can be very pricey, especially in areas that are safer and offer the most services nearby. Condo fees may wind up offsetting lawn care and property upkeep costs for the suburban house.

Second Homes

Quite a few boomers are investing in second homes even before retirement. The National Association of Realtors reported that in 2005, 12.2 percent of homes sold across the nation were second homes bought as vacation property. Another 27.7 percent of sales were for second homes that were purchased as investment properties.

New Homes

New homes are being built with a nod toward values those nearing retirement hold dear. For one thing, they do not want to place themselves in a “retirement” community that in any way conveys being old and decrepit. The Del Webb model of active life communities still captures the imagination for some retirees, but it is not universally appealing. Nostalgia is playing a role in the dreams of how boomers see their lives turning. Trying to recapture the carefree days of running loose in the neighborhood knowing any house was welcoming is driving the design of some newer housing initiatives. Placing houses closer to each other and the street, adding front porches and sidewalks, all contribute to establishing the close community feel that people are seeking.

Sunshine States

Florida, Arizona, New Mexico, and California have long held the allure of easy living in warm, sunny climates. Big developments of homes with shared resources such as a club house, golf course, fitness center, and hiking trails have been the hallmark of how to live the life of leisure envisioned by Del Webb in the 1960s. The appetite for easier living geared toward a population finished with full-time work remains. Not everyone wants to move halfway across the country to find this type of lifestyle, however.

Pulte Homes, one of the nation's largest home builders, is betting that the model will work in other parts of the country as well. Brownstone Township, Michigan is one of the early sites for an active community with 620 homes. The company has plans to build another 100 such communities throughout twenty-four states by 2008. This developer is betting that, for many, the desire to remain near family and friends will outweigh the attraction of full-time fun in the sun.

From http://www.netplaces.com

10 Tips for Happy Retirement Living

1. Retirement living is about more than money.Financial planners tell us to start thinking about retirement living decades before we're ready to retire, and it's good to make a retirement planning checklist about five years before your retirement date.
   While you're thinking about how much money you'll need in retirement, think about what you want your life to look like, and how you want to feel.
2. Make life plans. It's important to plan for the non-financial aspect of retirement living by considering what will make you happy. Maybe you’ll climb Mt. Kilimanjaro, go dog sledding in Alaska, make time to write that novel you've been thinking about, or even continue to work part-time. Make a life plan and tick off your experiences as you move ahead. (And no, I'm not talking about a "Bucket List!")
3. Find a purpose. When making your retirement living plan, look for things you can do on an ongoing basis that bring you joy and add structure to your life. This can include travel, hobbies or even training for a new career.
4. Keep your mind sharp. "Use it or lose it" applies to your brain. If you feel the need to replace the intellectual stimulation you found at work, try learning a foreign language or a musical instrument, or join a book club. Lifelong learning offers many opportunities to keep your mind sharp. How about checking out the lifelong learning classes offered by your local community center or college?
5. Volunteer. Getting involved in your community is a great way to give back, and it's a wonderful opportunity to interact with people and make new friends. Senior Corps offers volunteer opportunities tailored for older adults.
6. Develop new friendships. A measurement of whether people are successful at retirement living is the strength of their social network—that includes family and friends. Check out groups that help you meet new people or join community or religious organizations that have members who share your interests. It's possible to meet people and make new friends even if it'sdifficult to get around.
   Did you know that friendship helps to increase longevity?
7. Ask your spouse or partner. If you live with someone or have a close partner, retirement living becomes a shared experience. It's important to make time for you and your partner to both share your dreams—you might be pleasantly surprised to learn that your partner wants to join you on that Mt. Kilimanjaro climb, and he or she may have ideas you'll enjoy.
8. Increase your financial stability. If you can’t afford to retire yet, what about partial retirement? This can include working part-time in your current job or finding a retirement job that's new and interesting—and will also help you earn money.
9. Keep your spirits up. The life changes that come with retirement living can be challenging, but your attitude plays a big part in whether you'll find happiness in retirement living or not. Check in with yourself to assess your mood; if you feel sad or hopeless it's important to see your doctor or a professional counselor. Learn the signs ofand senior depression (or ask a friend or family member to assess your mood) and don't be afraid to ask for help.
10. Remain healthy. Carter brought up an old adage: A lean horse for a long race. With increasing life spans, retirement living can be a long race, so get yourself in shape. That means eating well, watching your weight and staying active. When you feel good, it's easier to stay positive and open to new experiences.

Handler, who retired at 66, says he's looking forward to his next decade of retirement living. "I wake up every morning and wonder what I'll learn today."

From Sharon O'Brien, former About.com Guide

7 Misconceptions About Retired Life

Many seniors are not enjoying retirement as much as they thought they would

Many people are postponing their current wants to save for retirement. And perhaps retirement will bring little stress and plenty of time for hobbies and travel. But some retirees say they are not enjoying retirement as much as they thought they would.

A quarter of retirees think life in retirement is worse than it was before they retired, according to a recent poll of 1,254 individuals age 50 and older by NPR, the Robert Wood Johnson Foundation, and the Harvard School of Public Health. And 44 percent of retirees think their overall quality of life is about the same as it was while they were working. Only 29 percent of retirees say leaving the workforce made their life better. With that in mind, here are seven misconceptions about life in retirement.

[See 10 Places to Reinvent Your Life in Retirement.]

You will have less stress. More than half (55 percent) of workers age 50 and older expect retirement to be less stressful than it was when they were working. But only 39 percent of retirees report having less stress in their lives than they did when employed full-time. "There are some false expectations about what life in retirement is going to be like," says Gillian SteelFisher, a research scientist and the assistant director of the Harvard Opinion Research Program. "The stress may be related to a decline in health or finances." More than a third (35 percent) of retirees say their stress level is about the same, and almost a quarter (24 percent) say they now face more stress than they did while employed.

Travel and hobbies will fill your days. Exploring new places is a common retirement goal, with 59 percent of older workers expecting to do more of that in retirement. But 34 percent of retirees say they currently travel to places they want to go less than they did in the past, and 35 percent fit in vacations about as often as they did while employed. "There is a common expectation that this will be a time to get out and do all the things you want to do, and then we find out, in reality, not only are they not taking these exotic cruises, but they are spending less time traveling in retirement than they did in the five years before," says SteelFisher. "There may be health issues that may be making travel more difficult than they might have anticipated, and it may be that the cruise was a little bit more expensive than they anticipated." And while 68 percent of people over age 50 who are not yet retired expect to have more time for sports, hobbies, and volunteering, many retirees say they have the same amount (43 percent) or less (20 percent) time for activities they like.

You will take better care of yourself. Almost half (48 percent) of older workers say they will exercise more in retirement than they do now. But just because you have more time to exercise doesn't mean that you will. Some 34 percent of retirees say they get less exercise than they did while employed, and 41 percent get about the same amount. You probably won't start eating healthier in retirement either, even if you have plenty of time to cook. Most people's eating habits stayed the same in retirement (52 percent) and 12 percent of retirees say they now eat less healthfully than they did while in the workforce.

[See 9 Secrets of Retirement Happiness.]

Your health will hold up. "People envision that retirement will be a chance to do a lot of things that they haven't done before and they haven't really thought about the health issues they will run into as they age," says Robert Blendon, a professor of health policy and political analysis at the Harvard School of Public Health. Most older workers (69 percent) expect to maintain their current level of health in retirement. But only 43 percent of retirees say their health is now similar to what it was five years prior to retirement. Some 39 percent of retirees say their health is now worse than it was before retirement. "As retirees start to need long-term care for themselves or their spouses, they experience stress because of the concern about what options are going to be open to them," says Risa Lavizzo-Mourey, president and CEO of the Robert Wood Johnson Foundation. "The retirees who are experiencing more health issues than they anticipated or having difficulty paying for things like long-term care are feeling like retirement is not like they thought it would be."

You will be able to maintain your current standard of living. The majority of employees age 50 and older (62 percent) expect to be able to maintain their current standard of living in retirement. But unless you saved very diligently, you may have to make some spending cuts in retirement. More than a third (35 percent) of retirees say their financial ability to live comfortably is worse than it was while they were working. "A lot of people retire and they discover that the amount they thought they would need to live comfortably is not the amount that their investments and Social Security and their house end up yielding them," says Blendon. "People are not looking forward enough in terms of the health issues they will face and the actual financial income they are really going to have." Most retirees (63 percent) say you need an annual income of $50,000 or more to live comfortably in retirement, and more than a third (35 percent) admit that they do not currently have their target level of income. Healthcare expenses are a major problem, with 1 in 5 of survey respondents saying they have trouble paying for healthcare.

You'll improve your relationship with family members. Many current workers expect their relationship with their spouse (45 percent) and other family members (40 percent) to get better in retirement. But only just over a third of seniors report an improved relationship with a partner (34 percent) and other family members (35 percent). Most retirees say their relationship with family members (61 percent) and their spouse (62 percent) stayed the same in retirement.

[See The 10 Most Difficult Retirement Decisions.]

Retirement is a choice. We like to think that we will be able to retire when we hit a certain age or savings goal. Most current workers (60 percent) expect to retire at age 65 or later, often because they need the money or health benefits from their job, but also because they enjoy working and want to make a difference. But only about a quarter (26 percent) of retirees held onto their jobs that long. Retirees (58 percent) generally say they left their jobs at the same or an earlier age than they initially thought they would, perhaps due to a layoff, buyout, or health problem.

By EMILY BRANDON

From http://money.usnews.com