Downsizing – Dos and Don’ts

Downsizing

Downsizing is often a word used by people who are retiring. What does downsizing actually mean, and how should one go about downsizing? Take a look at the options that are provided for downsizers. There are ways to go about downsizing provided below.

Downsizing for retirees means reducing the size of their home, and usually retirees will sell their current residence and move to a place that is much smaller. Downsizing means you will liquidate the equity in your current residence, but a retiree will only do this when they are purchasing a smaller place. Some of the downsizers will pick a smaller place, but generally the place will be more luxurious; or some retirees just choose to have a second home, oftentimes in another country.

Just moving to another house is not what downsizing actually means. It takes a lot of work, planning, research, then getting rid of some of your stuff and getting rid of it. Everyone that is going to downsize should take plenty of time to prepare.

Always follow your heart, but be smart and think with your head.

Downsize – Should You?

Should you downsize? Remember, downsizing isn’t for everyone, but people choose to downsize for personal and varied reasons. When one is retiring, then downsizing generally follows. If your kids have moved out and you have a lot of empty space, or your house is just is costing too much to maintain and the house is just too large for you now. Maybe none of these applies to you and you are just wanting a change of scenery or you would like to live on the beach, maybe do some traveling, or have a life that is simpler, then you should downsize.

Financial reasons are a popular reason why people downsize. It allows for extra cash for their retirement. They can use the money to invest or anything that they like. Health reasons is another reason why people downsize. People with health conditions need to be closer to their family members or live in a place where they have support, generally a retirement village.

    Here are some tips for dos and don’ts of downsizing:
  • First and foremost always assess your needs of a new place
  • Take your time and think about the new place
  • Declutter and get rid of things that you don’t need or will use anymore
  • Think about the kind of property that you would like to have, which include a townhouse, villa, condo, small house or an apartment. Remember, many apartments come with steps, so think about an apartment thoroughly.
  • Research the market intensely before selling or buying, then ask someone in the real estate for advice.
  • Research the new property, then try to rent before you buy.
  • Before you move make sure you are close to services that you will need such as transportation, stores, and family members
  • Don’t make any quick decisions
  • Once you sell your property make sure you don’t spend all the money
  • If you are uncertain about any property, then don’t purchase the property

Downsizing can be a great move for many people. For more advice, check out the rest of this website.

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