Most homeowners say they will downsize at some point in their lives, but they haven’t put an actual plan together. A plan is important though, because waiting too long to downsize can be costly, frustrating and even dangerous.
With that said, here are 5 signs to help you spot when the time is right! 👊
If your income has decreased or become fixed in retirement, housing expenses can suddenly take up a lot more of your monthly budget. If your housing expenses are over 30% of your income each month, you are officially considered “financially burdened” by the US Department of Housing and Urban Development. You might be able to go for a while in that state, but a single financial crisis could put you upside-down, and depending on the crisis, unable to effectively manage the sale of your home. Better to keep an eye on this number, and if you’re close to or above 30%, act now before things get bad.
A lot of seniors don’t have sufficient funds to last through their retirement, and they need to access that equity they’ve built over the years to finance their life. There are a lot of options to pull equity out of your house and remain living there, but they all have costs associated with them. Additionally, the cost of a larger home each month just eats up more of your funds, that makes that equity run out faster. In many cases, it just makes more sense to sell and downsize then to try to stay in the same home.
One of the most common issues is not being able to keep up with the maintenance on a bigger house. It costs more, it takes longer, and most importantly, it’s a hard job! Even if you don’t do the maintenance yourself, you still have to manage handymen and cleaning people and landscapers and painters, etc. It’s a full time job at a time when you’re ready to get your golf game on!
As your neighborhood changes over time, your peers will likely move on, and you will be surrounded with younger and younger families. This can be great, but for some it can be isolating to not have people your own age around, people with shared interests and histories. Additionally, your family could have moved far away, further isolating you.
These relationships with family and friends are crucial to maintaining your health and happiness. Moving closer to family or moving into a senior community can significantly improve your quality of life.
Aging in place sounds great until you look around and start noticing the things about your home that are fine now, but likely to become significant challenges as you age. Things like:
Long or uneven walkways
Big yard, needing mowing and trimming
Storage areas that are too high or too low to access
Bathtubs, which can be hard to get in an out of, or showers too small to allow use of a shower stool
Small bathrooms that don’t have room for grab bars and safety equipment
Any of these things can make living in your home difficult, if not downright dangerous.
Okay, you see it now, it’s time to downsize you’re not looking forward to the open houses, the inspections, the requests for repairs you’ll need to deal with. Rest easy, when you sell to us, you don’t need to deal with any of that. Contact us today to hear how a cash offer could simplify the process and get you into your new home quickly and easily.