Retired and buying a homeHave you been dreaming of the day you will retire? Do you want to live in Central Florida, enjoy the amazing climate and play golf or tennis every single day? This is the dream of many looking to retire, but you shouldn't wait until you retire to buy your retirement home.

Your twilight years are the time to buy your retirement home. You're still fully employed and you have a few years left before you'll retire. This means, you not only have a better chance of getting a mortgage, but you can also set yourself up for a very successful retirement. Here are a few reasons why you should buy your retirement home before you retire.

Mortgage Approval is Easier

Lenders look at more than just credit when you apply for a mortgage. The debt-to-income ratio makes a big difference and it won't be as pretty if you're not employed. When you're still employed, you will likely have more income to help keep this ratio lower.

This makes it easier to qualify for a mortgage and for a lower interest rate. If you wait until you retire, you may be limited the amount you can get in a mortgage for your retirement home.

Ability to Pay off the New Mortgage Faster

When you can handle a second home mortgage, you should take the opportunity now to buy before you retire. This will give you a head start on getting the retirement home paid off. If you plan it just right, you'll be able to pay off the retirement home when you sell your current home; with the proceeds.

More Money Available for Renovations

Before you retire, you have a regular income and a home to leverage for renovation money. There's no guarantee you will find the perfect retirement home and you may want to renovate it some before you move in during your golden years. In addition, this allows you to shop for homes that may not be perfect and score a deal, if you already plan to renovate.

After you retire, it may be harder to get a mortgage with enough cash to help you with renovations. Plus, you won't have an income to count on when it comes to paying for renovations yourself. Buying a few years before you retire gives you time to get the renovations done and make the home perfect before moving in.

Ability to Expand Your Portfolio

When you're capable of carrying two mortgages as once, you have the ability to expand your portfolio. You can rent out the home you plan to use for retirement before you retire. It can become an income generating property for you, which will only make it easier to pay off once you retire. You may even have enough coming in from the property to help you retire sooner.

Along with these reasons, buying a home before you retire will give you some tax benefits, as well. It will also allow you to know where you're going and what to expect when you do leave your job. It just makes sense to buy a home before you retire and use it as your retirement home when that time comes.