For many, the home buying story is one of growth; a growing family and the need for a larger home with room to grow into. However, for some the story is one of a changing lifestyle and the need for less space, bringing about thoughts of downsizing.
No matter what phase of life you’re in, there are clear benefits to downsizing and choosing a home that fits your actual needs. Whether your goal is to travel more, put some extra money in your pocket or spend less time on maintenance; downsizing provides you with a lot of benefits.
So the question you may keep asking yourself is when is the right time downsize? To help answer this question, we’ve compiled a short list of signs it’s time to downsize!
1. Retirement is on the Horizon
Ask anyone in this phase of their life and they’ll say retirement is a careful process. A lot of planning goes into the decisions you make to set yourself up for the best years of your life. Once retirement begins, you may start to wonder whether or not your current home still fits your needs. Downsizing to a more suitable home means less property taxes, saving more on utilities, and a reduction in mortgage and insurance payments. What does this translate into? More money for you to experience life the way you’ve always wanted to.
2. Children Have Moved Out
When your family home is no longer decorated with crayon on the walls, echoes of laughter from the yard, or homework strewn about the kitchen table, it’s time. You often purchase your family home solely with kids in mind, but now your children are grown up and only come back for visits. This gives you the opportunity to refocus on your needs and think about what suits your lifestyle today.
3. Bedrooms are Being Used for Storage
Unused rooms in your home are simply a waste. They collect dust and become a dumping ground for the things you ‘put away’, then can never find again. Downsizing allows you to focus on space that is actually used and less space is easier to maintain.
4. You Want to Cash In on Your Investment
Over time, a home’s value is likely to appreciate which earns you equity. If you’re lived in your house for some time, usually no matter what the market is doing, your home investment may allow you to walk away with a smile on your face and dollars in your pocket to be spent on experiences, not mortgage payments.
5. You’ve Been Dreaming of Travelling
If you find yourself mesmerized by cruise commercials, dreaming of faraway places or spending hours on travel sites, chances are it’s time to travel!
Travelling is easier when you downsize to a cared-for, maintenance free property. Seasoned snowbirds often downsize to townhomes or condos. They use the money they’ve saved on traveling the world the way they’ve always wanted to without the worry of who’s caring for their investment.
Financing your dreams, no matter what they are, can be expensive. If your oversized mortgage is eating up your fun money, downsizing may be the right choice for you!
By downsizing, you boost your retirement or travel fund, get rid of unused space, and free yourself of excessive maintenance of your home. Your life could be more comfortable and more fulfilling with a home that requires less management and fewer responsibilities.
Are you convinced? Then you’re ready to downsize!