"Rent with the option to buy" in a declining market (and none of us are sure where this market is going) is rarely a good idea. This locks you into the market value at the time of move in. If the house further decreases in value, then you are stuck with the higher price.
May I ask if you qualify for Active Adult Communities? This may be an option.
Francesca Patrizio, Broker Sales Associate, ePro, SRES