Treading Water

My husband and I never meant to be treading water in the second year of our retirement. Unfortunately, we are one of the many families throughout the United States who have become caught up in the housing debacle. How on earth did we get here financially we often ask ourselves when the plan was to be debt-free at the beginning of our golden years? We have just reviewed the latest statistics that indicate the sale of existing houses has decreased by 21.5% in one year. Foreclosures are predicted to top two million soon. The stock market has reacted negatively to this news within the last couple of months, fearing a possible recession if Americans quit spending.

It began in the summer of 2005 when we put our dream house on sale. We knew we wanted to live near our ever-growing grandchildren in Little Rock, and we were also looking for a house that had a master bedroom downstairs due to my husband's spinal stenosis. We did not hesitate to purchase a home that had all of the desired criteria a year ahead of my retirement date. Our realtor assured us that our old house would sale within two or three weeks. At the end of six months without an offer, we took it off the market for some recommended upgrades. We put it back on the market after another six months all spruced up and ready to go. Again, in our new six-month realty contract, we got no offers.

We are currently maintaining two houses, paying taxes and insurance, for both. Our savings has depleted. We think we can stay above water for one more year. After that, it appears that we will sink--we and another two million families just like us.