When People relocate at retirement, it can have an economic impact on states they migrate into and out of.
Where are retirees moving? Many people are making Delaware their choice! Relocating at retirement is a common choice that people make as many people decide to not just retire and stay put. And when they relocate, they take their hard-earned retirement income with them as well. Real estate broker Kathy Sperl-Bell of Active Adults Realty in Delaware discusses a recent topic in Where to Retire Magazine about Income Transfers. In this study, we learn about what states retirees are migrating into and out of and how Delaware stacks up.
Do people relocate when they retire?
Hi, this is Kathy Sperl-Bell at Active Adults Realty in Delaware, and it depends on what study you’re looking at. I have seen many studies that say people do not want to leave their home when they retire, and they want to age in place. But then, I see many articles like this one in Where To Retire Magazine which clearly indicates that quite a few people do relocate when they retire, and they move from one state to another.
Delaware is a very small state, so often we fly below the radar in many studies, especially if they’re talking about sheer numbers. But when an article like this analyses the, what they call, income transfer, states that are losing substantial annual income from people relocating to states like Delaware, that are actually gaining. And it’s color-coded, as you see. So you see up here, that’s the North East and the Mid-Atlantic region. You see a lot of that dark blue.
Well, that dark blue means that that state is losing 300 million dollars or more annually because people are leaving the state when they retire. And it’s too small to see, but this tiny little orange state there is Delaware, and Delaware is one that is gaining 50 million to 149 million annually from income transfer in.
So I thought it was very interesting, you can see California is dark blue surrounded by many states that are gaining when people leave California at retirement. It’s interesting because some people will say, “Well, gosh, we have so many retirees moving into the state. Isn’t that gonna be a drain on the economy?”. I think there’s another way to look at it. They’re bringing a lot of income into the state, which is, of course, forging new businesses, which is causing new restaurants to open. So we’re seeing the positive side of retirement and we think that that’s going to continue for many years to come in Delaware.
You can read the about this study in the Where to Retire Magazine article here.
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