Investing in retirement property – the benefits of starting at a young age
Retirement estates and villages have grown substantially over the past few years, not only in market size and interest but also in the type of lifestyle that it offers buyers. These factors are changing people’s perceptions about retirement and are attracting a new buyer demographic. Buyers below the age of fifty are noticing the investment opportunity that comes with purchasing a retirement home early on. In fact, the benefits go beyond a great return on investment. Regardless of your age, here is why you should consider investing in retirement property:
You secure a more sustainable financial investment
The demand for retirement property continues to increase, with buyers being able to pick from an array of excellent choices. Considering the variety of retirement estates and villages in South Africa, this competitive market secures an even better long-term investment. Higher demand also means that the yearly capital appreciation will be on the rise. Should you decide to sell, your return on investment will most likely be above average.
The property can be rented out
Investing in retirement property at a young age doesn’t mean you have to retire. You also don’t have to move in just yet. Perhaps you want to work for another five years or are still enjoying your current home. In the meantime, you can increase your retirement investment even further by renting out the property for additional income. The retired market makes for the ideal tenant as they don’t plan on moving out soon and are also responsible rent payers. This takes away the rush of moving immediately and allows you to do so when the time is ready. If the house requires any building adjustments or you want to spend money on the interior, the extra cash flow from your rental fee might just come in handy!
It saves time and trouble if an unexpected event occurs
Thinking ahead really pays off when it comes to purchasing a retirement property. As a buyer, you could still be in your forties; however, your parents or another relative could be reaching retirement age. An unexpected event might also require them to move into a secure estate. Instead of having to put their names on a waiting list, your family members will immediately be able to move into your property. This will save money for the whole family and prevent the stress of coming up with a quick solution.
You will have peace of mind for the future
Don’t underestimate retirement planning, as it takes time and effort. When you start planning in your younger years, it leaves fewer implications for the future. For one, your financial circumstances could suddenly change, or the availability in your first-choice retirement estate might decrease. Thus, give yourself peace of mind for the future by purchasing retirement property well in advance. If you decide you want to retire earlier than expected, you can do so.
Enjoy a safer, more convenient lifestyle
These days, most retirement estates and villages do not feel like retirement living at all. Most estates and villages are equipped with excellent facilities that cater for your health, entertainment, and leisure needs. The houses and apartments are also more spacious so that your immediate living environment is both enjoyable and convenient. Most importantly, retirement properties are often located in secure, gated communities that offer a lock-up-and-go solution. This extra security provides a stress-free lifestyle where you feel safe roaming outside and continue to live actively. This makes investing in retirement property a safe and smart choice.
Your children will also reap the benefits of your investment
Property is one of the few valuable assets that can stay in families for generations. Your children and perhaps even your grandchildren can inherit the retirement home that you purchase. However, it goes beyond inheritance because, for many families, owning a property signifies lifelong memories. Thus, when you do your research properly and purchase in a top-class retirement estate, which offers full-title properties, your family’s next generation will also benefit from your decision. Looking at these benefits, any buyer would agree that it is never too early to start investing in a retirement property. It saves time, money, and unnecessary stress! If you are eager to discuss your options or want to learn more about our retirement estates, contact our RetireNow sales team.