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Jun
25
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Let’s say your current home is valued at $400,000. You likely will need (conservatively) about 1% of that sum each year for property taxes on average ($4,000), about 1% for repairs and maintenance (again, $4,000), and about $500 for homeowners insurance. Annual bill: $8,500.
A relatively safe rate of withdrawal in retirement is 4%. So you would need $212,500 in savings ($212,500 x 4% = $8,500) just to support your home.