Cost of Living/ Seniors (renting, HOA fees, insurance)

[ra1007]

So I"m trying to help a retired relative move to Florida (south Fl, maybe boynton or nearby).

They'd pay for their home with cash, and would have no mortgage, but their income is only about $1200 a month.


So, hoa fees, even if low, maintenance, food costs, gas, car upkeep, insurance, cable , electric bills, shopping.....

Can a retired couple live on 1200 a month? thanks

[Heidi60]

My HOA fees started at $148/mo and are now over $360/mo and I can't wait to get the heck out of this place. Many home owner associations have no trouble taking the homes of seniors, and others, who can't pay their ever increasing rates. When inflation sets in those rates will go even hirer and an individual has no power to control their "budget". My husband got on our HOA board of directors and was not surprised to see that the money was not well accounted for and more and more fees were added each year. My husband was able to get the well entrenched mgt. company out but the same old board members are still there so only little has changed. I urge you to think long and hard about getting involved in any HOA, especially on a fixed income. You can Google Home Owner Associations to find some real horror stories about seniors being put out on the street. It is the management companies, lawyers, and contractors who make money off this added level of "government taxation".

Can you live on $1,200/mo.? It all depends on your health, ability to budget and life style. I think the real questions is how long can you live on $1,200?

Perhaps renting might be a better solution so the cash can be invested and at least earn some interest/dividends.

Another alternative to explor is buying a home with a reverse mortgage. Those are discussed in other posts on City-Data Forum in detail but your best information is to check out the government sites as the laws are always changing and you don't want to fall victim to an unethical mortgage practice. A reverse mortgage is expensive up front but there are many ways you can use the money such as to pay credit cards, pay off a mortgage....well, read the government web site first for information appropriate to your situation. They aren't my first choice, but living on $1,200/mo isn't going to be easy, especially if you have health problems. Best of luck to you.

[Heidi60]

Here is the FTC web site for Reverse Mortgages. Not my first choice, but it might have a part in an overall financial plan. It would be very wise to meet with one of their conselors to review all the options. Some people are totally against them, others understand that it is an option seniors didn't have before but get the correct facts from FTC first.

Reverse Mortgages: Get the Facts Before Cashing in on Your Home’s Equity