The majority of American homeowners are interested in retiring and aging in place.
According to the Finance of America Reverse’s 2022 Home Equity Loan Survey, 68% of homeowners are somewhat or very interested in retiring and staying in their current home. With so many planning on staying put, 67% reported they are planning to renovate/remodel parts of their home. Eighty-four percent of current homeowners said they plan to live in their current residence as long as they are able. Only about 30% said they are interested in downsizing and buying a smaller home, including about 25% of baby boomers.
With so many homeowners wanting to remain in their homes, it comes as no surprise that the majority of homeowners are happy with their purchase, with 85% of homeowners said buying a home was the best investment they ever made. Additionally, 86% reported their home has increased in value since purchasing it and only 5% said their home had decreased (9% were unsure). However, current economic conditions are causing strife in some homeowners.
Nearly 80% said the state of the U.S. economy makes them anxious and 79% said inflation makes them feel the same way. More than half (53%) said they are concerned about living comfortably in retirement. With that anxiety, consumers are planning for the future and its uncertainty. About 40% said their top financial priority is saving for the future, while 35% said it is saving for retirement. If they had access to extra funding, 33% said they would put it toward updating or improving their home, 30% would increase retirement savings and 26% would pay off their debt.
Ultimately, 93% agreed that home is where the heart is.