Three ways to use your house for retirement planning

Saving for retirement is a challenge for many Baby Boomers. Knowing how much money to put away, trying to estimate what future living expenses will be, and guessing how long they will live, are all factors in determining how much money to funnel towards retirement.

06-28 houseTo help overcome the challenges of saving for retirement, Baby Boomers and seniors can consider a variety of options related to their homes which could provide additional income to help fund their retirement.

As reported recently by the Globe & Mail newspaper, here are three new potential sources of retirement income for homeowners:

1.    Sell your house- In many parts of the United States and Canada, real estate is expensive, so if you sell your home, and move into an apartment, the money left over can be invested and used to fund your future retirement plans.

2.    Downsize- If moving into an apartment is too much of a change, consider simply selling your home and moving into something smaller, and less expensive. Take the leftover money and use it as an investment.

3.    Rent your home- If you don’t mind sharing your home, having a tenant can be a great opportunity for an additional income stream.
Are you a homeowner? How do you plan on paying for retirement? Tell us about it in the comment section below: