We see greater property market stability going into 2024. So now’s the time to start planning if you see downsizing on the horizon, as it’s a long-term project. Today we’re going to discuss the benefits and share our manageable downsizing checklist.
Benefits of downsizing in retirement
If you’re on the fence, here are just some of the benefits of downsizing:
- Increased cash flow. Downsizing your home typically means increasing your retirement savings. Not only because of the lower property price but also the lesser fees like insurance and utilities.
- Less maintenance. A smaller property naturally takes less time and effort to clean and maintain. There’s even less maintenance if you downsize from a sprawling home to an apartment. Think about all that extra time you’ll have to dedicate to hobbies that don’t include mowing your lawn or cleaning your pool.
- Better lifestyle. Most people downsize in retirement to be closer to family, friends, their dream lifestyle or amenities.
Downsizing checklist
Follow this downsizing checklist to make it a reality next year.
- Understand your why
First things first. You need to sit down and think about why you want to downsize. Ask yourself questions like:
- Do I want a different lifestyle? Will your downsize see you opting for a tree or seachange?
- Do I want less space? Most empty nesters choose to downsize because they don’t need the extra space now their grown children have flown the nest. Envision what you want your new home to have i.e. two bedrooms with space for a large dining table for socialising.
- Do I need to save money? If your retirement savings could use a boost, downsizing to increase your cash flow will be a driving factor.
- Start decluttering
So, you’ve made your plan and understand where you want to downsize and why. Now the fun starts – decluttering. This can be a prolonged process for some people, especially those with homes overflowing with sentimentality. So take your time going from room to room.
Once again, envision where you’ll be moving to and decide what exactly will work in the new space. This is the time to be ruthless, so only keep the essentials.
- Consider your budget
Before moving on to the next step, plan your budget to determine how much money you have to get your home market ready. Other things to consider include moving costs, the average value of your potential new home, property sale costs and the cost of your new lifestyle.
- Prep your home for the market
Doing this after decluttering will make such a difference. Now, depending on the property, this can include everything from minor repairs and updates to major renovations. So fresh paint, new landscaping, updated fixtures or a revamped kitchen.
This is a great time to contact a local real estate agent for a free property appraisal and to ask for recommendations. They can let you know what prospective buyers are looking for in your area and might also recommend professional home staging.
- Find your new home
Now it’s time to find your new home. Remember to consider your long-term goals, health and lifestyle when deciding. For example, an apartment with no lift access might not work for you in 10 years’ time.
- Embrace your new lifestyle
Congratulations, you’ve downsized! Embrace your new lifestyle by making new friends, rediscovering old hobbies or reconnecting with family.
We invite potential sellers in The Hills District to call our Kellyville real estate agency for a no-obligation chat. We can let you know exactly what needs to be done to your property so you can successfully downsize in 2024.
Thinking of downsizing? Talk to us!
We’re always happy to chat and give you an idea of what buyers are looking for and what you do and don’t need to do to your home.
