Why Downsizing May Be a Healthy Decision for Both Your Finances and Family Life
Bigger isn’t always better. While owning a large home allows you to spread out and be comfortable, expansive spaces are a hassle to clean and maintain, not to mention a constant drain on your finances. It’s why downsizing has become a popular option, especially with the mature crowd – 12 percent of downsizers were between 45 and 64 years in 2017. Indy Property Source explains everything you need to know about downsizing and why it may be a suitable option for you and your family:
What does downsizing involve?
Downsizing is moving to a smaller home from your current larger one. Usually, you first sell off your existing house and then use the money to purchase or rent the smaller one. People choose to downsize for financial as well as personal reasons. Checkout the MyMove senior guide to downsizing.
Below are some of the top benefits of downsizing:
You may have paid off a significant portion of your mortgage already. Further, your home may have appreciated since you bought it. That means when you do sell off your home with Indy Property Source, you’re going to have serious equity at your disposal, even after you factor in the purchase of your new home.
The larger the property, the more the utilities. Moving to a smaller home can net you sizable savings monthly in reduced utilities. Factor in fewer overheads like house repairs, gardening, and general beautification expenses and you’re looking at a much-reduced financial burden.
Maintenance is less of a hassle
Maintenance is more than just monetary expenses – it’s also all the time you spend tidying up, vacuum-cleaning, decorating, and just making your home livable. Smaller spaces are easier to clean and manage and can free up time.
A minimalist lifestyle
Do you need all the stuff you have? Minimalism declutters both your space and mind, giving you extra energy and time to focus on the things that really matter – like spending time with your loved ones. It’s especially a good lifestyle to embrace for seniors, says becomingminimalist.
A better location
Always wanted to live near a forest? Or would you like to have more doctors and specialty clinics near you? Downsizing allows you to find an ideal location that offers convenient access to all the amenities that you need. Also, it allows you to move closer to friends and family – or even get away from it all.
Moving house may bring you closer to new opportunities and like-minded people. If the area you live in doesn’t offer good jobs, for example, you can move to a different location that does. Further, you may be able to meet people and families with whom you can get along.
Finally, downsizing can bring a much-needed change of pace and is more important than you think, reports HuffPost. If you’re stuck in life or having squabbles at home, a new environment can bring much-needed relief for everyone involved. You leave it all behind and start over anew.
Renting vs. buying when downsizing
Should you rent or buy when you downsize? It all depends on your unique situation, preferences, and life goals. Owning a home offers peace of mind, but buying a smaller home may not be as cheap as you think, as Investopedia can attest. Your current home may not pay out as much as you thought and your new smaller home may cost more. There are always implications and closing costs. Consult with an expert if you need to.
Renting may be the cheapest and most financially feasible option. It can also be less stressful overall and gives you a lot more flexibility. Finding an ideal rental may also be easier than finding an ideal house. There are approximately 336 apartments for rent in Carmel at this moment, for instance, according to ApartmentGuide.com.
Don’t forget estate planning, whether you rent or buy. Knowing your options and having a game plan is always a smart decision for both you and your family. Regardless of what you choose, moving house will be a life-changing experience – in all the best ways. We wish you the best of success in this endeavor: Happy hunting! – Guest Contributor, Lucy Reed
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