Why Retirees Are Upsizing Into Larger Home? Why choose more house to clean? Because they can.
By age 61, the majority of people feel free to choose where they most want to live, according to a new study by Merrill Lynch, "Home in Retirement: More Freedom, New Choices."
"Throughout most of people's lives, where they live is determined by their responsibilities," according to the report. "Most careers demand that people live within a reasonable commuting distance from where they and/or their spouse work. However, as people enter their 50s and 60s, they begin to cross what this study reveals to be the 'Freedom Threshold.'" That’s the age when people say they can finally choose where they want to live, according to the survey of more than 3,600 retirees. Now they can do what they want.
As the boomers are moving toward retirement and away from core work and family obligations, many seem to be seeking both roots and wings. According to a just released, comprehensive research study from Age Wave, in partnership with Merrill Lynch, “Home in Retirement: More Freedom, New Choices,” retirees are both honoring their roots and spreading their wings, often in the name of family.
Let me be specific. On average, by age 61, the majority of people now feel the freedom to choose where and how they most want to live—more than at any other time in their lives. With this new sense of freedom, many retirees spread their wings by picking up and moving to a different home, community or part of the country. The study found that 64% of retirees are likely to move at least once during retirement. And one of the big surprises is that many are ignoring the conventional wisdom to downsize. Sure, half do. Yet our study found that half of retirees didn’t downsize in their last move. In fact, almost a third (30%) actually upsized into larger homes.
Why is bigger better for some retirees when they spread their wings by moving? The number one reason is to accommodate their roots: their family. They want to encourage their family to be an integral part of their lives. In particular, 33% of respondents told us they want a home big and comfortable enough for their children and grandchildren to visit regularly. As one focus group participant told us, “We want our house to feel like a second home for our children and grandchildren. Especially our grandchildren.”
While many choose to spread their wings by moving, other retirees want to stay close to their roots. The number one reason: They love their homes. That, however, doesn’t mean they are not spreading their wings; they’re just doing it in a slightly different way. They want to transform their house into a dream home, renovating to make it more attractive, comfortable and versatile.
Retirees say the ideal place allows spending time with others their own age yet they also seek to be around those of diverse ages. Compared to younger people, older Americans are far more likely to want diversity in age and generation among their communities and neighbors. As such, just 7 percent of retirees surveyed have opted to move into age-restricted retirement communities.
Whether deepening their roots, spreading their wings, or accomplishing both, two-thirds of today’s retirees tell us that they are now living in the best homes of their lives.
