How To Downsize Your Home As A Retiree
If you are approaching retirement or retired already, you may have thought about downsizing your home. There are several reasons why people choose to downsize. You can free a bit of money up for expenses that come with retirement or reduce the need for home maintenance. Plus, you can live a life with more freedom and flexibility when you’ve downsized.
If you’re getting ready to sell your home and downsize, you need to consider your financial standing, your desired lifestyle, and your demographic.
Do You Have Enough Finances?
There is no doubt that COVID-19 had a negative financial impact on millions. With stock market volatility, people are losing financial investments. You may be one of the many people who rely on financial investments to carry them through retirement.
LendEDU says that 67% of Americans over 55 worry about their ability to retire post-COVID-19. Many retirees don’t have the ability to finance their homes now. If you are someone who still owns your home pre or post-retirement, you may consider finding a place that is less expensive to live in. You can eliminate your mortgage or at least lower your payments.
However, you must also keep in mind that prices have likely risen quite a bit since your last home purchase. You will need to make careful consideration as to how much you are willing to downsize for mortgage-free living.
What Kind of Lifestyle Do You Desire In Retirement?
According to the World Economic Forum, many Americans will begin outliving their savings by a decade on average. If you fear that you might outlive your savings, you may want to re-evaluate your desired lifestyle so that you can allocate your finances properly.
You must consider what is most important to you during retirement. You might want to try out new hobbies or travel around the world. One of the best ways to free up capital for these kinds of lifestyles is by downsizing.
Downsizing can free your finances up and allow you to look for homes that have helpful long-term features, such as single-story construction or wider hallways.
Where Would You Like To Live?
As you grow older, one thing you might want to focus on is where you want to live. You might have always wanted to live in a warmer climate or closer to family. It is very important for you to consider how your life will be impacted by relocating.
Decide what types of demographic features you are not willing to negotiate. Here are a few things to consider when looking for a new neighborhood:
- Easy access to healthcare or shopping
- A strong sense of community
- Safety and security
If you are looking to raise capital from your home, you may want to consider selling to an off-market homebuyer like National Cash Offer. With National Cash Offer, selling your home is easy and convenient. We will handle all of the paperwork and worry about the fees so that you can focus on the things that are truly important. Get in touch with us today!