They’re coming. You can hear the thunder — not too distant, deep and closing fast. Soon they’ll be on the move in droves as 77 million baby boomers stampede into retirement. When boomer demand slams into markets, prices often soar (until the herd passes, and that will take some time). Nothing can stop them. And, if you find this prospect disquieting, remember there is a bright side. If you can get yourself just a little ahead of the boomers, then you will be in an excellent position to be a winner in your retirement years. You can be there if you know where they’re going.

In the past, people looked at retirement as a nice, tranquil place where they could stretch out and take it easy. Today’s retirees are much different. As they journey from the dawn of the 'Age of Aquarius' into the sunset, from rocking the world to rocking chairs, Boomers expect to get what they want. "At the top of the agenda is financial security and health care," says David Foot, University of Toronto professor of Economics who has studied demographic trends in Canada and around the world. (Foot is the co-author of the bestselling books Boom Bust & Echo 2000: Profiting from the Demographic Shift in the New Millennium and Boom Bust & Echo: How to Profit from the Coming Demographic Shift (with Daniel Stoffman, Stoddart 2000, Macfarlane, Walter & Ross, 1998, 1996)

Is it any wonder that financial security is a major concern for boomers?

2005 White House Conference on Aging – Dec 2005:

" ... within the next 2 or 3 decades, with advances in medical and related sciences, human lifespan will increase to an unprecedented length. Not only will it be relatively normal for people to live to be 100, but also they may live to reach the "natural cap" of about 120 years and up! Generally, boomers will have better health as they age and the aging process may be notably slowed."

With 20, 30 or more healthy years to plan for, boomers are conscious of stretching their retirement dollars; they want to live life to the fullest, and they don’t want to run out of money before they run out of life. This is one of the big attractions to Lake Chapala, Mexico. No matter where you live now, chances are you can live better for less in Mexico. The exchange rate from dollars to pesos is very favorable. Property taxes are under $200 U.S. per year. Maids and gardeners work for $2.5 U.S. an hour. There are no heating or air conditioning costs. However, real estate prices, although still reasonable, are not cheap. Although the cost of living in Mexico is in pesos, most housing is priced in U.S. Dollars.

Americans living in Mexico can buy their home using their IRA. And, Canadians who plan to spend at least 183 days out of the Country each calendar year (as Snowbirds), can enter the Canadian non-residency tax system. This can be an enormous tax advantage because of the Canadian/Mexico Tax Treaty which can reduce their taxes on pensions and most investment income down to 15% and reduce all future capital gains taxes to 0%. An example offered on the "Focus on Mexico Programs" demonstrates a possible savings over time of about $300,000— enough to buy that dream home in the sun. This is a tremendous advantage and smart tax planning.

Secondly, health care in Mexico is excellent by international standards and extremely affordable. A family couple will spend about $400 per year for medical insurance. Many of the local doctors are U.S.- or Canada-trained, speak English, have no waiting lists and are able to get their patients the required medical treatment within days. Brand name prescription drugs are readily available and on average 40% cheaper than in the U.S. or Canada.

So making the move to Mexico, and having access to excellent, very affordable health care is a major advantage.

Right up there alongside (if not ahead) of financial security and health care, Boomers are looking for a warmer climate to spend the best years of their life. They plan to live longer and be more active than yester-year’s retirees. 'Live Younger Longer' has become the motto for today’s Boomers. This adds another check mark for the Lake Chapala area, reported by National Geographic Society as the 2nd best climate in the world. Temperatures average about 74° F year round, and being 5200 ft above sea level, we have virtually no humidity.

International Living E-letter – 19 Feb, 2006

"Mexico is one of the world’s last great ground-floor retirement opportunities. Here, you can afford the luxuries that you weren’t meant to live without— like a maid, a gardener, a cook."

In addition, Mexico is a vibrant country, full of color and music and young people. The foreign community in Lake Chapala of 20,000 represents the largest concentration of Canadians and Americans outside of Canada or the U.S., and for good reason. This community takes being active several levels up. The Lake Chapala area is alive with activity. (You’ll hear people remark that there may be older people living here but no 'old' people. In fact most people, when speaking of age refer to themselves as being so many years young.) With over 50 English-speaking organizations to join or belong to, golf or tennis year round, fitness clubs, yoga, tai chi, many English-service churches of most denominations, Computer Club, Writer Club, amateur Ham Club, Art Classes, Line Dancing to Ballroom Dancing, tons of great restaurants, nightly entertainment, and so much more, there is something for everyone. But, you may ask: "Can I get the cultural quality I am accustomed to?" The following is a sample offering from a wide variety of quality entertainment organized by our local 'Music Appreciation Society' (run by volunteers).

Yes, I think you will have to agree, Lake Chapala gets full check marks on everyone’s Wish List.

Now is the time to take control of your retirement—whether it be immediate, or in the coming few years. If you wait, you’ll find yourself being pulled along with the herd. And that may not be the best place for you to be.

Dan Burrus says it best in an Excerpt from "The Baby Boomer’s Future: Crisis & Opportunity":

"Real Estate Boom and Bust"
When people retire, do they typically stay in their big houses? Many do, but history teaches us that millions move; they sell their big homes and move into smaller homes or condos. And, as we all know, retirees usually prefer a city in a warm climate.

The Baby Boomers have been the most mobile of all generations having lived in several locations. They have also traveled more than any other generation and during the past decade they have been keeping an eye out for that perfect retirement spot. They plan on living long, and living their dreams.

Today, Baby Boomers are pouring millions into real estate. Many are buying their retirement home in a warm climate ahead of time to beat the boomer rush and living in it whenever they can or renting it out until they can retire and permanently move. Some see it as a better investment than the stock market. This trend will accelerate as Boomers try to lock in their retirement dreams before they become too expensive.

The hard trend is that millions will move to what is perceived as a healthy, warm location and the impact of the baby boom retirement migration will cause a real estate bust in many areas and a real estate boom in others. Remember, there was a baby bust after the boom, so the numbers of eligible buyers will not be there to buy all of the large houses that will be up for sale.

Planning Ahead
Remember, failing to plan is planning to fail. The opportunity for you is in knowing the difference between trends so you can take the appropriate action and shape the best possible future."

Note!
The New York Times has referred to Dan Burrus as one of America’s top 3 business "gurus" in the highest demand as a speaker.

Let’s examine the facts:

• Fact:
  Right now the prices of real estate in Canada, the U.S. and Europe are at a peak – that makes now a good time to sell.
  
  
• Fact:
  Many people nearing retirement live in the largest house of all their years.
  
  
• Fact:
  A wave of Baby Boomers will be stampeding into the market, many putting their houses for sale at the same time.
  
  
• Fact:
  Consider Dan’s comment: "there was a baby bust after the boom so the numbers of eligible buyers will not be there to buy all of the large houses that will be up for sale".
  
  
• Fact:
  Now is the time to take control of your destiny. Get ahead of the Boomers. Plan your life instead of being pulling along with the herd

The Baby Boomer Contradiction

We are retiring earlier. We are living younger longer. The bag of cash we have acquired has to be spread over a longer period of time. In order to maintain the quality of life we deserve, it is clear that many of us will choose (some out of necessity) to find an alternative location that will allow us to live well and fulfill our dreams:

Financial Security

Excellent and Affordable Health Care

Lower Cost of Living

Warm and Temperate Climate

A bit of Adventure, but in a Secure (Safe) Environment

Lots of activities to enjoy while we ‘Live Younger Longer’

Good Communications

35 minutes from an international airport

Vibrancy of Life

A new Culture

English speaking community

Modern infrastructure

Beautiful lake and mountain scenery

Favorable immigration policies

This check list aptly describes Lake Chapala, Mexico! Don’t you owe it to yourself to get an early start and find that alternative location for you to spend the upcoming "best years of your life".

Our "Focus on Mexico Programs" will guide you through the maze and help you Discover for yourself 'One of the Last Best Places on Earth'. Join us on a program and experience the Magic of the Lakeside.