For many reasons, the passing of the years eventually heralds a time when it’s necessary to move on from the home you live in. Often it’s about moving into a smaller space, but it could also be a lifestyle change to bring in greater simplicity, ease the financial pressure or give you a new lease on life. The Henry Wong Team® has helped many people enjoy a successful downsizing experience, and along the way we’ve picked up on the common reasons why people downsize. We want to share them with you today.
The Home Maintenance is Becoming Overwhelming
There’s often one of those lightbulb moments here. A distinctive shift in something inside you, a clear message that says ‘this is too much work’. For many people, this is one of the chief reasons around the decision to downsize. Tasks like mowing the large lawn, cleaning and tidying multiple empty bedrooms, or taking care of routine repairs simply start to take a toll on you. A more manageable property just seems so appealing!
Your Income Can’t Keep Up with Your Mortgage
Now this is a downsizing reason that can happen at any stage in life. Remember we’re not financial advisers, so you should talk to a professional in that field before making any decisions about your home. For many downsizers, a chance in their financial situation can mean they can no longer afford their mortgage, or the bills are just getting too much. A smaller property, with a smaller mortgage, would be a welcome relief.
You Don’t Need All This Space
Maybe you’ve reached a stage where it’s just you and your partner, and a whole lot of space that used to be taken up by your children. They’ve since flown the nest, and you have spare rooms that remain unused for long periods of time. You’ve got to ask yourself if it’s worth continuing to live like that, or is it time to move to a smaller property that suits your current setup better?
You’re Not Tied to the Location Anymore
When a family buys a home, a lot of the time the location is chosen for the kids. Schools, daycares, parks, buddies – when the kids leave home they may not hold the same importance. You won’t need to live within a few minutes of their school, and suddenly you won’t feel tied to the area. It’s similar with work. When you retire, you don’t need to live close to the office, or the trainline that takes you to the office. Your current location may no longer be the best one to support your lifestyle, and it’s time to start looking for a smaller place elsewhere.
You Need a Change
Sometimes, we just need a change. You may want a new environment to live in, a different lifestyle. An easier life. When you downsize, you embrace an opportunity to start afresh, to enjoy a rejuvenating change that brings with it new experiences. If a smaller home in a different area is going to help you achieve that, then it’s time to downsize.
The Home You Live in Has Appreciated in Value
If you’re been in your home for many years, or you’re riding the wave of the increase in property prices, chances are you have a lot of equity sitting in your home. Downsizing could help you free up some of that capital. This could be a sizeable boost to your retirement! REmember we’re not financial advisers, so if this does apply to you definitely seek out professional financial advice.
What Are Your Downsizing Options in Australia?
You’ve made the decision to move into a smaller home. Congratulations, it’s a big decision and an important step in life! Where are you going to go to? Well, here are some popular options:
- Buying a Smaller Home or Unit: If you’re looking for something more manageable,you can go for a townhouse or a unit in a residential complex. These usually have a small or no garden, giving you true low-maintenance, lock-and-leave capabilities.
- Retirement Villages: These offer a community-oriented lifestyle with facilities suited to older residents. They come with a warm sense of community, and what attracts a lot of people are the recreational and on-site medical facilities.
- Independent Living: These are smaller apartments or townhouses in a purpose built community hub. Residents have a variety of different style of homes to choose from, and can enjoy a range of facilities and social activities in a community-focussed hub.
Downsizing is a big decision. There’s a lot of emotional and practical considerations to take into account, but if you navigate it correctly it can be a positive and rewarding step. It’s always good to talk to finance and real estate professionals to try and decide on the best path forward. They’ll help you understand your options and make an informed decision. For all real estate related questions and guidance, The Henry Wong Team® is here for you. Please get in touch today.
