If you live in Kellyville and have had your family home for many years, you may find yourself asking, “Should I sell my house now?”
With the increase in the cost of living and in mortgage costs, downsizing is becoming a very viable option for a lot of people in the Hills District.
Here are some signs that you should seriously consider downsizing in 2023:
The kids have flown the nest
There comes a time in every family’s life when the kids fly the nest, and parents are left in an increasingly empty home. This is usually the first time that the topic of downsizing comes up.
Do you really need a four-bedroom house anymore? Sure, you might now have a study, a workshop and a craft room, but are they really necessary and how much do you use them? With only one or two of you left in the house, it may be more than viable to move into a three or even two-bedroom home.
Even if you have adult children living at home, downsizing can be a good way to encourage them to find a place of their own.
You want less housework
Speaking of empty rooms and too much space, the work to clean it may be getting too much. Either you’re having to spend way too much time doing it yourself or too much money having someone else do the job for you.
You might also have a large garden that is just becoming too much of a hassle to deal with. Forget pruning and lawnmowers; there are other things to enjoy.
Whether the extra work is becoming a strain because of age-related problems or you just don’t feel like dealing with it any more, it might be time to move to a smaller place.
Purchase in a retirement village or strata managed block and the groundskeeper does the work. Some even offer a smaller group-managed kitchen garden if you would like to continue to flex your green thumb.
You want to reduce your expenses and running costs
Bigger houses cost more money.
Whether it’s power for lighting, heating and cooling, the increased maintenance issues, or even the size of the garden that constantly needs attention, a bigger house will cost you more to own.
Then there are the mortgage repayments. This has to be one of the most significant reasons that people are choosing to downsize this year, especially with the current cost of living crisis and rising interest rates. With a smaller home and a smaller mortgage, you can save on your monthly expenses.
You are thinking of investing
Another excellent reason to downsize is to put some of the proceeds into an investment property.
Real estate is proven to be one of the safest and most reliable ways to invest money and reap the rewards in the long run. You can use your equity to downsize into an apartment and also buy an investment property that will provide you with a steady rental income and potential profits when the time comes to sell.
With the current rental crisis, you are also all but certain to rent your new property quickly and at the best possible price. You’ll also be able to take advantage of the tax benefits you receive for owning a rental property.
Is it time to downsize?
If you’re over the age of 55, a final reason to downsize is the ability to sell your property and put some of the proceeds into your superannuation. You can read more about how this works here.
Downsizing gives you more freedom and flexibility. You will have lower expenses and the freedom of a ‘lock up and leave’ lifestyle.
Before you sell, talk to a financial adviser. They will be able to help you to figure out what the best move for you is for your financial future. If investing in another property is on the cards, they will also be able to guide you in the right direction and let you know how much you can afford to spend.
From there, it’s recommended that you work with an experienced real estate agent who understands the value of homes in your area, will guide you gently through the process and can help you achieve an outstanding price.
Ready to downsize? Get in touch with Notable Property today.
