Downsizing is a term many in the real estate industry typically reserve for those who find themselves moving into that “next chapter of life.” And this can look different for many … perhaps you are an empty nester, retired, or soon to be retired, perhaps those who are seeking to reduce living expenses, or those who are just looking to simplify their lives. I have found through my many years in real estate, people who are in their 50s and 60s often will choose to make this change at that time, or are considering making the change, as they contemplate their options.
Many who are looking to downsize, are not just needing or wanting less space, they are also looking to simplify, as they look forward to an easier way of life … like not having to mow the lawn for example, or maintain the interior/exterior of their home, from the roof on down… imagine that? No, really imagine that – imagine not having to do those things! Don’t we all look forward to the days of making our lives easier, as we enter our next chapter of life. And so we should. We worked hard for these days to become our reality!
Downsizing can be a wonderful opportunity to create a home that fits your needs and supports your best lifestyle as you enter your senior years. With careful planning and consideration, it can be a positive and empowering experience. So don’t let the thought of making the move overwhelm you, as it does for many when you are making big life changes … embrace it as you plan for the future.
What is downsizing?
Downsizing generally refers to selling your current home in favor of a smaller home, but that definition is a broad one. While downsizing traditionally means moving from a larger home to a smaller home, most often because the homeowner simply does not require that amount of space they are currently living in, nor do they care to maintain that larger home. It served its purpose for years, creating fond memories that will last a lifetime, but now, it is time to create your new memories as you move on to a more simple life.
Of course, downsizing doesn’t just have to mean just a lower square footage home. Some homeowners downsize to reduce the upkeep of the home. Why clean that forth bedroom when you are only using one, right? Others might simply want a home whose layout is more conducive to their current lifestyle. That might mean fewer bedrooms but a larger plot of land for gardening, or living closer to town, so they have the ability to walk to shops and restaurants, rather than having to drive to them for example.
Experts also point out that downsizing doesn’t always mean saving money, either. Depending on where you would like to live, buying a new home could be a lateral move in terms of finances. It’s all about the ease of lifestyle for some. The cost of the new property, location, and other factors can impact the overall expenses. However, downsizing most often will result in lower mortgage payments, utility bills, and property taxes, freeing up more cash flow. While downsizing can have financial benefits, be mindful of the costs you will incur when selling your home and the moving expenses that go along with it. Many of my clients I find, make the decision not to take much of their furnishings with them. They will decide to sell, donate, or pass along to family members and purchase new furniture when they arrive at their new home. It is not only a dramatic savings on their moving expenses, but it also allows them to purchase furniture that will fit nicely into their new space. It’s important to consider all expenses when considering making the move. Lots to ponder on for sure …
When is the right time to Downsize?
Unsure when to downsize? It’s a very personal choice no doubt, but one you might consider if you’ve experienced a major life change. The ideal time to downsize depends on personal circumstances, such as changes in family dynamics, a desire for a simpler lifestyle, retirement, or financial reasons. Factors such as divorce, the loss of a loved one, can also prompt the decision. However, before downsizing, it’s important to do your research to narrow down your desired location on where you would like to move to, the type of home and property that will suite your wants and needs, and your budget.
And for those who know me know I have said this many times, in many different ways … If you feel the time is right, don’t let the market dictate your plan otherwise. The time to make your move – is when the time is right for you based on your own personal wants needs and desires … your why. In this case, downsizing is very much a quality-of-life decision, so I will always advise clients to not let the market dictate their decision when such a decision may greatly improve their quality of life. If the plan makes sense, and you have the ability to do so, move on “your time” because as we all know too well, life is too short.
What to Look for in a Downsized Home
Ready to make the move? Start by working with a trusted real estate professional … that would be me 🙂 Assisting you on both sides in many different ways, to streamline the process, is what I do best.
When searching for a home to downsize into, I would advise buyers to think about what they may need during the start of their retirement and into the next phase in their later years. Make sure your wish list includes things to help make life easier to give you the ability to age in place if you will. One level living will always be at the top of the list. Accessibility to medical facilities, shopping, restaurants, parks, convenience to major highways, and any amenities that would be important to you.
Things you should consider when searching for your new home would be whether you will be living in the home full-time or seasonally, whether you plan to entertain friends or family frequently. While you are making the move to make life easier for you, having the ability accommodate family and friends when they come for a visit is something you may want to consider when making your plans.
Define a budget, and look for homes in locations that fit that budget offering enough bedrooms and bathrooms, outdoor space, storage space, and proximity to necessary and desired amenities. Focus on what will improve your quality of life and make sure that your new home has the amenities that are important to you.
If you are considering a community that has amenities for its residents, understand the costs associated with those amenities will be in the form of HOA dues (Homeowners Association). Consider taxes, and utility costs as well, as they could be significantly different (higher/lower) then what you are paying in your current home if you are moving out of state.
Preparing to Downsize
First order of business, after speaking with a trusted real estate professional … gather your thoughts, make your “to do list” – First thing on the list – declutter. As you prepare to move, take a long hard look at your things, and see if you can donate or sell any of the items while considering your “new space” Consider disposing of items as they no longer serve a purpose and focus on what truly matters to you. When deciding what to keep, consider the sentimental value, the worth of the item, if it will fit in your new home, and if it will work with your new home’s decor and color palette.”
Start going through your things sooner rather than later, giving yourself the gift of time. This will avoid you feeling added pressure, making rash decisions or feeling rushed during a time that for some could be a difficult or emotional process. Hiring a professional/someone that can help you go through and organize your things if you need assistance could be helpful to some.
It can be very difficult for some to get off the fence, the thought of making the move can be over-whelming when looking at the tasks at hand, and the many moving parts that come along with it. Do know, as a real estate professionals we are here to help you break it down, and guide you through the process every step of the way.
In case you missed It … Third Quarter Market Watch
Laura
The Key To Your Real Estate Success
Helping buyers and sellers achieve their real estate goals.
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