Comprehensive Financial Solutions, Inc.

440-343-4223

Retirement

Why do Renters Have to Save More?

The infographic starts with a vector image of two houses, side-by side, both well-appointed and attractive. Above the houses is text that reads: Why do Renters Have to Save More? When preparing for retirement, what’s the difference between owning and renting?The infographic starts with a vector image of two houses, side-by side, both well-appointed and attractive. Above the houses is text that reads: Why do Renters Have to Save More? When preparing for retirement, what’s the difference between owning and renting?Continuing down, the houses have  realtor’s shingles out front with the following statistics: Homeowners should save 5.25 times their salary to retire at 68. Renters should save 8 times their salary to retire at 68.Continuing down, the houses have  realtor’s shingles out front with the following statistics: Homeowners should save 5.25 times their salary to retire at 68.Below there are two similar images of lines signifying a city map and a pinned highlight, side by side. The text reads: housing prices increased as much as 20% in parts of the U.S. but. Rents increased in 58% of US counties in the last three years.Renters should save 8 times their salary to retire at 68.Below there are houses with pinned highlights signifying a lightbulb and a car. The text reads: there are other pros and cons to renting versus owning a home. Homeowners may face larger mortgage payments when interest rates are high. Rates on a 30-year mortgage are nearly 7%.Below the houses are two similar images of lines signifying a city map and a pinned highlight stacked on top of each other. The text reads: housing prices increased as much as 20% in parts of the U.S. but.Lastly, there is a stylized sofa, houseplant, and lamp. The text above it reads: but those same high interest rates can cause rents to increase as well. Your lifestyle can affect your retirement strategy.Rents increased in 58% of U.S. counties in the last three years.Disclosure: Past performance does not guarantee future results. The return and principal value of home prices will fluctuate over time as market conditions change. When sold, a home may be worth more or less than its original cost. In part, rent prices are determined by supply and demand factors. Other factors that determine rent prices include location and square footage. There can be no guarantee that that rents will continue to increase or decrease in a particular geographic area. Sources: 1. Yahoo Life, April 12, 2023, 2. USA Facts.org, July 21, 2021, 3. USA Facts.org, March 28, 2023, 4. US News & World Report, October 31, 2022.Below there are houses with pinned highlights signifying a lightbulb and a car. The text reads: there are other pros and cons to renting versus owning a home. Homeowners may face larger mortgage payments when interest rates are high. Rates on a 30-year mortgage are nearly 7%.Lastly, there is a stylized sofa, houseplant, and lamp. The text above it reads: but those same high interest rates can cause rents to increase as well. Your lifestyle can affect your retirement strategy.Disclosure: Past performance does not guarantee future results. The return and principal value of home prices will fluctuate over time as market conditions change. When sold, a home may be worth more or less than its original cost. In part, rent prices are determined by supply and demand factors. Other factors that determine rent prices include location and square footage. There can be no guarantee that that rents will continue to increase or decrease in a particular geographic area. Sources: 1. Yahoo Life, April 12, 2023, 2. USA Facts.org, July 21, 2021, 3. USA Facts.org, March 28, 2023, 4. US News & World Report, October 31, 2022.
 

Related Content

When Markets React

When Markets React

When markets shift, experienced investors stick to their strategy.

Forecast

Forecast

The market is as unpredictable as the weather. We'd love to help you prepare.

How Financial Professionals Are Compensated

How Financial Professionals Are Compensated

Read this overview to learn how financial advisors are compensated.

 

Have A Question About This Topic?







Thank you! Oops!

How Will Working Affect Social Security Benefits?

Knowing the rules may help you decide when to start benefits.

Important Birthdays Over 50

Here's a look at several birthdays and “half-birthdays” that have implications regarding your retirement income.

Conquering Retirement Challenges for Women

Looking ahead can help you conquer these unique obstacles.

View all articles

Estimate Your RMD

Help determine the required minimum distribution from an IRA or other qualified retirement plan.

A Look at Systematic Withdrawals

This calculator may help you estimate how long funds may last given regular withdrawals.

Lifetime of Earnings

Estimate how much you have the potential to earn during your working years.

View all calculators

Protecting Those Who Matter Most

The importance of life insurance, how it works, and how much coverage you need.

Your Cash Flow Statement

A presentation about managing money: using it, saving it, and even getting credit.

An Inside Look at Retirement Living

A number of questions and concerns need to be addressed to help you better prepare for retirement living.

View all presentations

When Markets React

When markets shift, experienced investors stick to their strategy.

Suddenly Single: 3 Steps to Take Now

Have you found yourself suddenly single? Here are 3 steps to take right now.

The Other Sure Thing

Though we don’t like to think about it, all of us will make an exit sometime. Are you prepared?

View all videos