Home needs change based on stages of life. There’s no way around it. During a period of time when community, school districts, and enough bathrooms for teenagers are important problems homeowners face at one point in time may quickly become problems of the past when you’re an empty nester.
If you’re ready to take the plunge and minimize your living space, there are a few nuances to the sale of your home that may have an impact on the purchase of your new, smaller home.
If you’re on the fence about moving into a smaller space, here are a few reasons why now’s a good time to take the leap.
- Smaller homes are cheaper to live in. All of the daily expenses that come along with living in a large home immediately go down when your home size does. Think heating and cooling costs, landscaping maintenance, and even cleaning supplies. Less space means less to clean, less to maintain, and more money in your pocket. Not to mention that if you have a mortgage, paying for less square footage means that your monthly payment will be smaller, too.
- The equity in your larger home will help pay for the lifestyle you’ve always wanted. The recent housing boom means that the home you purchased twenty or even thirty years ago is worth a whole lot more now than what you paid for it. When it comes time to sell it, the equity that you’ve built over the last few decades can translate into buying a smaller home with cash (giving you more buying power than those who need a mortgage), or cash out for lifestyle purchases you’ve always wanted, like a boat or travel. Selling your larger home with significant equity can also ease retirement woes. Owning a home is the number one wealth-building tool in the American economy, so making your investment work for you long-term whether you live in the home or not, is a smart move. For context, home prices rose 18% during 2021 in the CoreLogic Home Price Index, which is the largest annual gain recorded in its 45-year history.
- You get to declutter and start fresh. There’s something very therapeutic about throwing old things away (or donating them to those in need). Downsizing your home means downsizing your things, too. That bowling trophy from 1989? May be time to part with it. Your new home will be a fresh start in every sense of the word. Take inventory of the things that spark the most joy and ditch the things that don’t. That way, your new home is a new experience from the start.
For more information on downsizing and selling your home, listen to Cynthia speak on the Me Time Midlife Podcast here.
Are you ready to downsize or need to know more about your current property in order to make that decision? Working with a real estate agent you can trust – and that knows the market inside and out – is the first step to ensuring that your home becomes your most valuable asset. Call us today to start your journey to downsizing. 626-714-6808