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Will you want to rent or own? There are calculators that can help you figure out which is better financially (we link to one in the homework), but this decision is as much emotional as it is financial. If you can afford to do either, where will you feel most comfortable? You may have paid, or almost fully paid, for your current home by the time you retire. That equity can be a source of cash. You can take out a home equity line of credit, enabling you to borrow against the value of the house; you could take out a reverse mortgage -- a special type of mortgage that allows you to convert the equity in your home into a lump sum payment, monthly income, or a line of credit.

Or you could sell the house. That's right, just take the money and run. In that event, remember that there is a $250,000 per person capital gain exemption on the sale -- you won't pay tax on that amount of money above the price you paid for the house.

Where Will You Live?
What part of the country or the world would you choose? If you need help in choosing a new city, check out Home Fair's database of over 500 cities nationwide to narrow down your choices.  Keep in mind that your taxes, rent, mortgage, food, and entertainment will continue to be expenses that can vary widely according to location. Even statistics from town to town in the same state can vary dramatically.

If you're retiring early, you may need one home now and another later. Aging does take its toll. We factor in the cost of assisted living later in this seminar, so we'll just mention it here.

Don't forget your own backyard. The American Association of Retired Persons (AARP) statistics indicate that only 5% of those 65 and older move, and of those, only one person in five leaves the state of residence at retirement. You may be just fine where you are, especially if family lives nearby.

(Retirement) Road Trip!
Before I retired, my wife and I used several of our vacations to check out small towns, meet the people in them, and look over the local newspapers. Once you no longer need to be located near large employment centers, the world opens up. Whether you're retiring at 65 or earlier, visiting a potential new home can be a great motivator to save more now.

There are a wealth of resources online for the retirement planner. We list a few in the homework that will help you calculate whether you should buy or rent, explain Home Equity Loans, help you refinance, and provide some stats on cities in the U.S. Today's homework will also dig in and identify some of the more tangible facts for the lifestyle choices you're considering for your retirement.