[cryout-button-dark url=”#”]Downsizing your home[/cryout-button-dark]
Once your kids have grown and are independent and you have retired from business, it is time to find a smaller, more appropriate sized home for just you and your spouse. The old home was great while the kids were young and you had a lot of guests and room to grow. Now, with two people, the house is much too big and you have that equity that can help in retirement. It is time to downsize.
You need to do the following things: when to sell, where to buy and what are the ramifications.
Sell: Need to clean & shine the home and ensure all things are working. Pick a realtor and discuss prices and timing. Get several estimates of selling prices. Finally list to sell, preferably in the spring when everyone is looking to buy. If you are lucky, you will sell right away and can move. Sometimes, a house stays in the market for several months. You need to be patient and ensure your price is right for the town and neighborhood. Get several realtors and pick one that has been recommended and has a good track record.
Buy: Discuss, plan, and pick where you would like to live in the future. Pick a town, study the costs of living there, visit the town and spend some time there. Preferably rent an apartment or house for a year so that you know whether you like living in the new town. Once you’re ready, find that perfect home for the two of you and buy it. This way, you know what you are getting into in terms of the town, the services, the costs and what you can expect when you get older. My wife and I have discussed this at length and although we are not ready, we have an idea of what to expect, where we want to move to and the steps to take prior to selling and buying. We also know that a measured process will leave very few surprises down the road.
Take the savings left and invest them wisely for the future. Open a brokerage account and ensure you review your investments with a financial advisor on a bi-annual basis. This can provide an additional stream of income for your retirement.
Are you ready to downsize??