Downsizing your home is a topic of conversation for a lot of individuals, especially as you get closer to retirement age. Besides hitting retirement, there are many other reasons that people downsize. The real estate agents at Collier & Co are ready to walk through some reasons to downsize and what to do to prepare to sell your current home.
Property has become to large too manage
As you get older, the effort it takes to maintain a larger property might not be for you. Cubesmart, discusses how a moving into a smaller home requires less maintenance, which can help you as you become less mobile. Larger homes with more square footage require more upkeep from cleaning to regular maintenance issues. Moving to a smaller space allows for you to have a more simple life with less square footage to have to manage.
Reducing your mortgage can be a driving factor to downsizing. Some individuals are looking to reduce their overall debt to achieve a debt free life while others are just interested in saving money on property taxes and maintenance costs for the average home. Also, with student loans being a big part of people’s lives, they are looking for saving an extra $500 on their mortgage payments to focus on paying down other debt.
Downsizing your home might have been plan all along. Your home is worth something and that value can be seen as an investment. Some individuals plan on their retirement to provide the extra little bit they need to retire.
Reducing Monthly Bills
Downsizing can help with your monthly bills. To start your monthly mortgage payments will probably be reduced. Next, utility bills and maintenance costs will of course cost less as you have less room.
Are you ready to downsize?
This is a real question to answer, some people want to downsize their homes, but how do you actually know if you are in the position to downsize? There are many factors that come into play with regards to downsizing, here are just a few of the top ones:
One thing to keep in mind that downsizing will cost you some, with moving, selling your current home, and purchasing a new home, you’ll have associated costs for all of these. For some this comes pretty easy, especially if you have your home paid off. Be aware though if you have a mortgage still of exactly what you’ll have left over after the dust settles.
Family and Friends
Downsizing also comes with moving, granted you could still live in the same general area as you currently do. This can impact your interactions that you have with neighbors or family members that live close by. Also, if you’re an empty nester, be cognizant of how often your kids (and maybe grandkids) are visiting, this might adjust your decision to downsize.
One other thing to consider is how much stuff you have. Selling off items that you will no longer need at your current home will make the transition better. Keep in mind though you’ll want to plan your yard sale out before you list your house. Once the house is listed, you’ll want to avoid having a sale.
The downsizing process should leave you feeling a bit nostalgic about your old home thinking back on all the memories that you had. The upside is that you’ll have a new home to make new memories in with hopefully less debt and maintenance to worry about. Also to help reduce the stress of downsizing, contact your local real estate agent from Collier & Co. today to learn how they can help you save time and money when downsizing your home.