Want to Retire in 5 Years? Let’s Talk Real Estate Strategy

Retirement is just five years off—but that doesn’t have to mean pausing until then. In reality, if you aim to retire successfully, the time to think tactically about real estate is now. Whether it's building equity, generating passive income, or just scaling your lifestyle back, a wise real estate decision is the solution to achieving life's financial freedom in the next stage of your life.

Below are some real estate approaches worth considering if you are nearing retirement:

1. Downsize (Or Right-Size) Now, Not Later

Why put it off until retirement to change to a home more suitable for your future lifestyle? Downsizing can greatly decrease your costs—consider the mortgage, utilities, and upkeep—and release equity to put in investments or use to travel, pursue a hobby, or support family members.

Right-sizing doesn't necessarily mean smaller, either. It's about finding a home that fits your needs—single-level living, a walkable community, or just fewer to maintain, period.

2. Invest in a Rental Property

Want a passive income in retirement? Buying a rental property at this time provides you time to acclimate to being a landlord, pay the mortgage, and begin creating cash flow before leaving your 9-5 behind. Short-term vacation rentals or longer-term leases both have sound potential depending on your risk tolerance and lifestyle objectives.

Bonus: It can eventually serve as a second home, pass it on to your heirs, or sell when the market's hot.

3. Look at a 1031 Exchange (If You’re a Current Property Owner)

If you currently have investment property, a 1031 exchange can work in your favor. It will let you sell and thereby defer paying capital gain tax when you reinvest in another property, perhaps one that generates more cash flow, requires fewer repairs, or is located closer to retirement.

This is a smart way of reshaping your portfolio without triggering a large tax burden.

4. Utilize Real Estate to Finance Your Dream Retirement

Perhaps, however, you're dreaming of a coastal relocation, a low-maintenance condo, or that lake house of your dreams where you'll host family reunions. Real estate can be the catalyst to bring these visions to life—but planning is the crucial first step.

If you buy, you'll be able to capitalize on current market conditions, lock in good financing, and relocate at your leisure instead of acting in a hurry after retirement.

5. Collaborate With Someone Whose Bigger Picture Perspective Resonates With You

Real estate isn't just selling or buying—it's retirement planning as well. Your financial goals, future vision, and lifestyle vision should be the questions the right agent is asking you, not just what you need in a home.

That's where I step in. My role is to assist you in looking beyond the square footage and curb appeal to the flexibility and long-term value your next relocation can provide.

Let's Map Out Your Road to Retirement

You don't need to wait until you retire to live the way you want.
Whether you're selling, investing, or just considering options, let's get together and discuss a real estate plan to serve your five-year vision.

Ready to chart your future? Let's chat!