A recent Ipsos Reid survey reveals that an overwhelming majority of seniors want to stay in their current home after retiring. The figure was 78% among those who had already retired and 61% for those who were planning to retire.
The survey got its results from over a thousand Canadians aged 45 through 60, which explains the lower numbers for those planning to retire. Downsizing or purchasing a home in a different location closer to grandchildren is something that many people do in preparation for their retirement.
Canadians want to retire early
While it is hardly news that most of us want to retire early, 36% of people polled who were planning to retire would consider using a home equity loan to retire earlier. Since 45% of the retired group carried debt into retirement, we can see that it isn’t uncommon for household debt to be a preventative factor to retiring early. With a CHIP home income loan, you can easily retire early and stay in your current home.
Reasons for retiring early
There are many reasons to consider using a reverse mortgage to retire early. If your job is stressful, you’ll enjoy a much higher quality of life if you get away from it sooner rather than later. Even if you love your job, an early retirement can mean more time to spend with family and grandchildren. The early years of a child’s life are so precious, and they don’t last forever. Retiring early can mean being able to travel on active vacations that you may not be able to take later in life, like a hiking adventure or a biking tour of Europe. There are so many reasons to retire early and only one reason not to: money.
No need to change homes in retirement
There are very few reasons to move after retirement, which makes the CHIP home income plan a sensible option for retirees. With no money to be paid back unless you move, the plan can free up some home equity for any kind of expense that you would like to use it for. A CHIP home income loan can be used for annual vacations, to help family with weddings or home purchases, or even to invest if a good opportunity comes along.
Eligibility Age Lowered
HomEquity Bank, the provider of the CHIP home income plan for Horizon Equity, recently lowered the eligibility age for the CHIP reverse mortgage home income plan from 60 to 55, a move designed to help those Canadians who want to retire early be able to do so more easily.
You can see more details about the survey here.
Contact Horizon Equity today to get more information about the CHIP home income plan and to find out how you can make it part of your retirement plan.