DandyDon, on 17 January 2019 - 12:01 PM, said:
The Pearl, on 17 January 2019 - 11:24 AM, said:
Great thread and much to think about.
Lots of tradeoffs in the retirement decision. The golfing communities hold a ton of pull on the psyche, but once you have to buy the real estate and pay for the golf it can get quite pricey. You would need one hell of a retirement income to swing some of the suggestions listed.
$125K annual income is pretty healthy compared to the national averages I would guess, so one could buy much golfing fun on that budget.
Yes, I have looked online at some of the properties like Colleton River near Hilton Head.....I love the look of the courses and the houses are gorgeous. However, I have noticed that the houses tend to stay on the market forever. Understanding that by living there you are on the hook for a minimum of 1500 whether you golf or not (someone feel free to correct me if I am wrong on this) greatly limits who you can sell too. It's one thing for me to buy it and enjoy it, but the thought that whenever I pass, my kids having to pay 1500 a month until they can get the house sold (which takes a while) is a bit of a put off.
We own a condo on Hilton Head Island. There are a couple of issues that make it difficult to buy and sell. As you mentioned, you really need to love golf and the folks who buy your home need to love it just as much. The other issue is supply. There are a LOT of golf communities on one stretch of road. In Bluffton, you have Colleton River, Belfair, Berkeley Hall, Oldfield, Moss Creek, Rose Hill (a disaster), Palmetto Bluff, Hampton Hall and several others. Many of these have two courses. Did I mention all the golf communities on the island proper? Long Cove, Sea Pines, Wexford, palmetto Hall, Indigo Run, Hilton Head Plantation....etc. The reality is that at least 3 private tracks on the island have gone public or were partial public from the start.
After the recession, you could have bought into some of these for a buck. A single dollar bill. Our plan has always been to buy into a golf community but I do worry about the financial health of them all. For me, there are two factors to think about. One is home values. This isn't the biggest for me as I figure this will be our final home and if its worth less when I'm gone, oh well. The other is cost of membership and assessments. Even if you are in a financial position to take the pain, are your neighbors? Are the willing to do it? And if they sell, that just puts more downward pressure on prices and makes the cost of ownership vs dues seem even more out of skew.
So for me, the question becomes do I buy into the community or simply look for an opportunity to join and live outside of the community. At some point, I imagine most of these communities will open up their membership to outside residents if they want to remain private. I would prefer to live within the gates as we will be moving into the area and I like the idea of instant community with people who like the same things I like. Now we just need to figure out how much we are willing to pay for that....and hope others are willing to pay the same.