Is This Realistic - Retire To Maui? (low income, rental)

[visitingagain]

Is this realistic, to be able to retire on Maui?

Details:
- Me, 65, wife, 62
- Will buy 1 bedroom lower-mid level condo in West Maui for cash
- Will buy used car for cash
- will have $48,000 year income (Soc. Sec.)
- will have small cash reserve
- no debt

Visited Maui about 14 times over past 30 years ... love it!

Concerned whether SS income is enough?

Comments?

Mahalo!

[whtviper1]

Originally Posted by visitingagain

Is this realistic, to be able to retire on Maui?

Now that you've added details.

Why not make a temporary move to a vacation rental for a few months and do a test drive.

That is really really low income for 2 people in Maui.

[visitingagain]

Originally Posted by whtviper1

No.

Just added details, hit submit before you could see details.

[visitingagain]

Originally Posted by whtviper1

Now that you've added details.

Why not make a temporary move to a vacation rental for a few months and do a test drive.

That is really really low income for 2 people in Maui.

Thanks, I've been considering that.

[swdweller]

I was going to say if you're on a limited income or budget the Big Island is more practical & reasonable.

We are getting to that phase, we are going to take our remaining months here & take short trips to different parts of the

country before deciding where to retire to.

[TwoByFour]

Originally Posted by visitingagain

Is this realistic, to be able to retire on Maui?

Concerned whether SS income is enough?

Mahalo!

Enough for what? That is the key here and only you can answer that. But you will have that same question wherever you retire, so that is not really a Maui question. The only wrinkle Maui adds to this is your money will only buy about 80% of what you were able to buy on the mainland.

So, my advice is to figure out your retirement budget first, then add 20% and see if that is less than 48k.

[Dreaming of Hawaii]

I agree with "enough for what?". What kind of lifestyle to do look forward to having? We do our own gardening, buy fish from a local fisherman, don't eat a lot of red meat, do most of our shopping at Costco, buy clothes at the thrift store, don't eat out more than once or twice a month, have solar power, no a/c, basic cable, etc. etc. Gas is very expensive, but your amount of driving will be significantly reduced. Since you have visited so often, you have a much better idea of what to expect that so many posters here who have a dream of moving to someplace they've never been!

Your income seems low, but you will be able to buy a condo for cash, which will eliminate a major monthly expenditure.

[oregonwoodsmoke]

If you can pay cash for your home, that makes a huge difference.

However, before you get too far into your plans, take a look at how high the association fees are for condos in Hawaii. It's not at all unusually for association fees to be $500-$800 a month. So, basically, you are still renting your home after you have paid cash for it. You'll want to figure how that fits into the budget.

[CyberCity]

Association fees usally bring amenities and coverage that does offer value in exchange for the payments. For example, in a condo the Association fee might cover all outside-of-the-walls maintenance. That could be new roofing or new lanai replacement or exterior painting or repaving of the parking lot, etc. Sometimes the Association fee covers water, hot water, and AC, etc. Landscaping upkeep might be covered, as well as pool maintenance, etc.

Ditto for a homeowner's association, there is usually a value. Common areas are often covered for landscaping, maintenance, insurance, etc. Is there a pool or tennis court (or even an golf course)? The fee would probably cover that.

In comparison, owning a fee simple home is more than just paying up front or having a mortgage. There is the component of upkeep and repairs, which need to be considered.

Association fees, depending on the situation, can be a valuable alternative.

Which brings me around to the budget of the OP. $48K a year with no mortgage, that is certainly doable!! Good luck.

[Ellwood]

We bought a condo and planned to retire to Maui several years ago. One thing you might keep in mind is your maintenance for the condo can be pricey, so add that cost in to your figures. Personally I think your income might be a little low for life on Maui.

We had visited Maui over a dozen times and like you, love Maui. Unfortunately, after living there for an extended time, my wife had island fever. This is a lady that loves the beach and outdoors. She missed family and friends on the mainland, missed the ability to get in the car and drive or hop a plane and fly for a change in scenery. So we still spend short periods of time there, but instead bought an RV and travel around on the mainland quite a bit.