Retiring Baby Boomers Move, But Pack Their Financial Woes with Them

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Retiring Baby Boomers Move, But Pack Their Financial Woes with Them
    NORTHBROOK, Ill., Dec. 10 /PRNewswire-FirstCall/ -- Retirement will bring
a change of scene for many Baby Boomers, as many anticipate relocating or
revamping their current homes, according to the second annual Allstate
"Retirement Reality Check" survey. Whether moving on or staying put, many
surveyed Baby Boomers expect home-related expenses such as a mortgage and home
improvement projects to be big-ticket items that will take a bite out of their
retirement savings.
    Nearly 40 percent of those surveyed plan to move in retirement, with
almost one-third (31 percent) doing so to downsize. Seventeen percent of
surveyed Baby Boomers will move to be closer to family, while another 14
percent would like to move to a warmer climate - especially those Baby Boomers
currently living in the Midwest and Northeast regions. Other surveyed Baby
Boomers (13 percent) will move to have greater access to activities and
amenities.
    Age-qualified communities from developers like Del Webb Communities, a
brand of Pulte Homes, are popping up all over to accommodate the growing
interest and demand for these types of "all-inclusive" communities.
    "Age-qualified buyers are looking for a place where they can live the life
they've always dreamed of," said Dave Schreiner, vice president Active Adult
Development for Pulte Home's Del Webb Communities.  "They are looking for a
quality home in a community that provides the infrastructure for an active and
involved lifestyle. And while the Southwest has been a traditional retirement
destination, we are also developing new communities on the East Coast and in
the Midwest for the large number of Baby Boomers who want to remain closer to
family and existing friends."

    Dreaming of an expense free retirement
    Whether Baby Boomers relocate, stay put or choose to renovate their
current homes, dreams of a debt-free retirement may not become a reality.

    -- Nearly a quarter (23 percent) of those surveyed expect to carry a
       mortgage on their primary residence into retirement.

    -- In addition, surveyed Baby Boomers list home improvement as a top
       retirement activity, on which they expect to spend approximately $5,800
       annually.

    "Even those Baby Boomers who have the luxury of a mortgage-free retirement
may experience 'sticker shock' from property taxes or the costs of maintaining
their home," said Peggy Dyer, senior vice president of marketing for Allstate
Financial, a business unit of The Allstate Corporation. "Baby Boomers may
alleviate some financial stress by starting to save now for the various
expenses they may have in retirement."
    The second annual Allstate "Retirement Reality Check" survey was created
by Allstate in conjunction with Harris Interactive. Using a random digit
dialing methodology, Harris Interactive polled 1,400 people born between 1946
and 1961, with household incomes ranging from $35,000 to $100,000. A sample of
200 Hispanics and 200 African Americans (56 percent female, 44 percent male)
were interviewed as part of the total sample surveyed.  The margin of error is
plus or minus 3.1 percent for the general population, and plus or minus
6.9 percent for information specific to Hispanics and African Americans.

    The Allstate Corporation (NYSE: ALL) is the nation's largest publicly held
personal lines insurer.  Widely known through the "You're In Good Hands With
Allstate(R)" slogan, Allstate provides insurance products to more than 14
million households and has approximately 12,500 exclusive agents and financial
specialists in the U.S. and Canada.  Customers can access Allstate products
and services through Allstate agents, or in select states at allstate.com and
1-800-Allstate. Encompass(SM) and Deerbrook(R) Insurance brand property and
casualty products are sold exclusively through independent agents.  Allstate
Financial Group includes the businesses that provide life insurance,
retirement and investment products, through Allstate agents, workplace
marketing, independent agents, banks and securities firms.
SOURCE Allstate Corporation
http://www.allstate.com
Company News On-Call:
http://www.prnewswire.com/gh/cnoc/comp/109885.html
CONTACT:
Laura Margolis of Allstate Media Relations,
+1-847-402-5600