Brokers

You’ve probably heard of the “sandwich generation” – mostly Baby Boomers who are already responsible for aging parents while still caring for at least semi-dependent children.  If you’re not in this generation, many of your clients probably are!

This generation, more than ever is feeling the crunch, and here are some reasons more and more of them will be looking to Mexico real estate as a solution.  According to a survey from the Insured Retirement Institute of Americans ages 50 to 66:

• Boomers confident in their retirement preparations has declined by 7 percentage points in the past two years, from 44% in 2011 to 37% in 2013.
• 24% of boomers said they were having difficulty paying their rent or mortgage
• 22% of working boomers have stopped contributing to their retirement savings
• 69% of boomers are not confident they will have enough money to pay for their children’s college expenses
• 75% are not confident they will have enough to pay the long-term care expenses of their parents
• 21% of working boomers have postponed their plans to retire
• In 2013, 18% of boomers said they were planning to retire at age 70 or later, up from 11% in 2011.
• In 2013, 6% of boomers said they plan to retire in their 50s, down from 9% in 2011
• Of those who are not sure when they will retire, 25% cited insufficient savings as the reason, versus 13% who say they simply enjoy working and 3% who “don’t want to be bored.”
• 46% of retired boomers said they were extremely or very confident that they had done a good job preparing financially for retirement, versus only 32% of working boomers.
• 48% of the retirees say a defined benefit pension plan is a “major source of income” for them in retirement, compared 38% of working boomers
• 45% of working boomers expect to rely heavily on 401(k) accounts, versus 34% of retired boomers
• 42% of boomers don’t anticipate much change in their outlook on retirement finances over the next five years. Another 20% expect things to get somewhat or significantly worse

(Read a recent article from the Wall Street Journal’s Market Watch for full discussion.)

More and more of those who are really feeling pressure (as increasingly the case) are looking to Mexico.  Owning a nicer home for a significantly lower price in a place where the cost of living is lower and its even easier to open a business presents a solution to much of the financial pressure.

Those who haven’t looked toward Mexico most certainly should be doing so – and for you as a broker, it’s best to be prepared to help!

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Thomas Lloyd graduated from Purdue University Krannert School of Management with a degree in Management/Financial Option Investments. He has been living, investing, and working professionally in Mexico for over 16 years. In the summer of 2009, he received the first federally applied Mexico Real Estate Degree and Mexico Professional Real Estate License S.E.P. #5978657. He is the president of Top Mexico Real Estate. Contact him at (512) 879-6546.

The TOP Mexico Real Estate Network; “Mexico’s Leading Network of Specialists for Finding and Purchasing Mexican Properties Safely!”