Posts Tagged “downsizing”
When you are retired and have less income to meet emergencies, take vacations, or handle a big-ticket repair, keep in mind that you have a ready source of cash at hand: your house. Your home is likely the largest financial asset you have. You can put your home equity to work for you.
You may have approached retirement with no plans to sell your home, especially if the mortgage is paid off. When you own free and clear your costs to live there are vastly reduced, although the taxes, repair and maintenance costs, and utilities bills go on. Your home is an asset that can be tapped to improve your quality of life. You should think carefully about how to use the value of it when doing financial planning and develop a strategy to access your home equity if you need the funds by either selling the home or borrowing against it.
When You Might Want To Sell
Does your home still work for you in your senior years? Is it where you want to be? Is it too big? Does it accommodate your physical needs? You may realize it is too big for you or not near enough to the kids. If your health is failing, you may need to consider assisted living or at least find a home that is a better fit to your needs. Selling the home will free up cash.
Thinking of relocating? If you move to less expensive home or condo, you could purchase with cash and have money left over to help fund your retirement.
Becoming a renter. This gives you the option to take all your home equity and invest it to produce a monthly income. You can also pay off any mortgage debt you may have. Plus you eliminate the ongoing expenses of property tax, repairs and maintenance.
When You Might Want to Borrow
If you aren’t ready to sell, you have alternatives that allow you access a lump sum of cash or an ongoing stream. Taking a home equity line of credit (HELOC) can offer you access to cash for emergencies. Assuming you qualify for a home equity loan, a HELOC is a good way to put on a new roof or take the trip of a lifetime.
If you need to supplement your monthly income, a reverse mortgage will pull cash from your home that does not have to paid back until you sell the house or pass away. You can choose either to receive a lump sum or monthly payments, or both. Your home equity is your money and having it in hand can relieve the stress of daily living.
Should You Access Your Home Equity?
The family home should be part of your retirement planning. Using the equity to improve your retirement years is something you have earned. There is no benefit to struggling financially while hundreds of thousands of dollars in equity sits unused in your home.
Looking to sell your home? Give me a call today.
Roy Thomas SRES® (Senior’s Real Estate Specialist) is a REALTOR® with Sutton Group Professional Realty. Since 1991, Roy specializes in helping retirees with their later in life real estate transactions. Call Roy at 902-497-3031 or contact Roy here
If you have decided to downsize into a smaller place, you’ve already made the difficult decision to sell your home. The next set of difficult decisions involves what to take with you. In your new home, you won’t have the room for everything you own. Also, you have made the decision to downsize your living space, so it makes no sense to be overcrowded from day one. You have to approach the process as one of getting ready for your new life, not shutting down the old one.
In most homes, you can get rid of 30% of its contents and never miss it for a second. How much could you live without it your new home?
Deciding What Makes The Cut
Discarding, selling, or giving your possessions away can be a grueling experience, as for most of us clothes, knickknacks, and other items can be like old friends we don’t want to part with even if we have nothing more in common. When you know you’re going to move, here are a few things that you can do to make decluttering and downsizing less painful.
– Take time to grieve. Give yourself time to go through the decluttering process so that you can unemotionally part with what you know you need to part with.
– Break your decluttering down into small projects. If you mark on your calendar to clean out old cosmetics in the bathroom one day, purge your CDs and DVDs the next, and tackle the bookshelf on another day, you will feel less overwhelmed and have a sense of satisfaction when you are done for the day.
– Make every item pass the test of “Will this contribute to my new life? “If not, delegate the item to the pile of things you are discarding. Not sure what to give away and are what to pitch? Ask yourself “will this item contribute to someone else’s life?”.
– Leave no stone unturned. Keep in mind that no area of your possessions should be safe from the evaluation. If you have prided yourself on your good cooking all your life, you are not obliged to keep every cookbook you’ve ever bought. Keep your favorites or pass them on to your kids, and pack up the rest. If you love kitchen gadgets, seriously consider what you use. If that pasta maker or ice cream maker has years of dust on it, it’s time to pass it on.
Request Your Complimentary Copy of My “Preparing to Downsize” Report
– Give yourself a few breaks. If you come across something you love but don’t use, you may let it slip into the pile of items to take. If you do that too much, your pile won’t shrink enough to fit into your new home. You can however put a few items aside to reevaluate later down the decluttering process.
– Take it away. Nothing makes it easier for you to second-guess yourself than to have boxes or bags of unwanted items hanging around your home. When you have a few breaks, get them to their destination. You won’t be tempted to pull items out of the discard pile and will see the results of your hard work.
Looking to sell your home? Give me a call today.
Roy Thomas SRES® (Senior’s Real Estate Specialist) is a REALTOR® with Sutton Group Professional Realty. Since 1991, Roy specializes in helping retirees with their later in life real estate transactions. Call Roy at 902-497-3031 or contact Roy here
The idea of aging place is appealing to many seniors. Many want to stay in their home as long as possible. Their home is comfortable and they are happy there. It seems like the easy choice. But in reality, it’s one of life’s most difficult decisions.
The options are “age in place” remaining in the family home or move to a new place that is more suitable for your current situation. The rule of thumb seems to be: if you are healthy and active then staying makes the most sense. Or does it?
Request Your Complimentary Copy of My “Preparing to Downsize” Report
Because everyone’s situation is different, there simply isn’t a right answer that applies across the board. Here are some key factors to consider when deciding if aging in place is right for you.
1. Physical Health Changes We are generally in denial but as we age our bodies grow weaker and our physical abilities diminish. If you need emergency care, do you have someone nearby to help you get it or are you on your own? If you have to stay in the hospital for an extended period, is there someone to take care of your home? And who would care for you when you return home? Many retirees have re-located to a retirement community that provides them peace of mind should health changes occur.
2. Social Life Many people are excited when they retire by the opportunity to enjoy hobbies and travel. However, they frequently miss the social interaction of the workplace. Over time the circle of friends will gradually diminish. Anyone who lives alone can find they are increasingly becoming more isolated. Especially during Winter months when it is harder to get out. One of the benefits of moving to a retirement community is the opportunity to meet new friends and participate in the activities and functions. Senior living is the time for socializing and new experiences, not becoming a recluse.
3. Transportation If you are unable to continue to drive your car how will it affect your lifestyle? Will you have to rely on family, friends or public transportation to go shopping, for medical appointments or even to visit a friend. Difficulty getting to places can further add to the isolation.
4. Home Maintenance Living in your home will require regular labor-intensive maintenance tasks that must be done. They are no problem now but things like cleaning out gutters becomes a challenge if you become unsteady on a ladder. Cleaning, washing windows and hauling garbage to the curb will become more difficult over time. The benefit of living in your own home decreases when faced with the increased difficulty of maintaining the property.
While many seniors want to remain in their home as long as possible, the reality is our housing needs change over time. There is no right time to make a change as every situation is different. The best advice I can ever give about when to make a move is: Don’t wait until you have to move. Don’t put it off until you have a health change or something unexpected happens and you are forced to quickly make a move.
Looking to sell your home? Give me a call today.
Roy Thomas SRES® (Senior’s Real Estate Specialist) is a REALTOR® with Sutton Group Professional Realty. Since 1991, Roy specializes in helping retirees with their later in life real estate transactions. Call Roy at 902-497-3031 or contact Roy here
The reality is, as we move thru the different stages of life our housing needs change. I meet with many retirees who are struggling with coming to terms with making a change. They know it is inevitable, they will have to make a move but is always easier to deal with it when it is somewhere down the road”.
After living in a home for decades, raising the family there and still being very comfortable in their home, many are reluctant to move. They love their neighbors and the neighborhood.
Many of us have insurance plans and financial plans but how many have a housing plan? Do we let fate determine our next move or do we assess our surroundings so we can be proactive rather than reactive? Next factor in the family dynamic. If you have a spouse you both must be of the same mind. Men typically have more reluctance to move. Adult children have their own opinions. Some want to keep the home in the family because it is the home of their childhood. Others want their parents to move to more suitable accommodations.
Request Your Complimentary Copy of My
“Preparing to Downsize” Report
At the end of the day it is your decision, it’s your home. Only you know how you feel both mentally and physically. But in many cases we put our feelings aside and bargain with ourselves to avoid the inevitable decision.
If you are considering whether or not you should be making a move, use this opportunity to ask yourself the important questions.
– Are you physically and financially able to maintain the home?
– Do you feel safe living in the home?
– Do you feel somewhat isolated, especially in the Winter?
– Does your current home still meet your current needs?
– Are you relying more and more on outside help?
– Do you have challenges navigating stairs, cutting grass, shoveling snow and cleaning your home?
– Are finances strained in maintaining your home?
– What would happen if either you or your spouse were to become ill and or incapacitated?
– What would happen if your spouse would pass away? Could you continue to live in the house alone?
Take some time and sit down with a piece of paper and write down your thoughts on making a move. Seeing things on papers allows us to better process them. Talk to your spouse and your children. Talking with loved ones and having moments of honesty with yourself and be a freeing and healing experience. Putting off decisions of change will leave you in a state of uncertainty. No one wants to be a burden on their children, but unfortunately it happens frequently.
Looking at your current situation honestly and objectively will enable you to decide if now is the right time to make a move or not. If now isn’t the right time for you be realistic about when the right time will be. The one piece of advice I always offer to retirees is: Decide when is the right time for you move but please don’t wait until something changes and you are forced to make a move.
Looking to sell your home? Give me a call today.
Roy Thomas SRES® (Senior’s Real Estate Specialist) is a REALTOR® with Sutton Group Professional Realty. Since 1991, Roy specializes in helping retirees with their later in life real estate transactions. Call Roy at 902-497-3031 or contact Roy here
One of the biggest questions I am asked by seniors is “When should I sell my home?” In reality this is usually two questions rolled into one. First is the question of “what time of year is best to sell” and the second is “based on our situation, when is the time for me / us to sell”.
The first question has a very simple answer. Whenever you want to sell is the best time. Granted certain times of the year have unique advantages. The January to March period is a good time to sell because there are fewer homes listed for sale and you will have less competition. Selling in the Spring / Summer market (April to July) is the busiest market and when the most buyers are actively looking. However this is also when the most homes are for sale and you have the most competition. The Fall market (September to November) is the second busiest market of the year.
The second question is a harder one to answer because it will be different for everyone. To decide for yourself when is the right time to make a move, here are some questions you should ask yourself:
Request Your Complimentary Copy of My
“Preparing to Downsize” Report
How much longer can I realistically stay? If you are mid 60’s, in good health, still able to mow lawns & shovel snow and enjoy gardening, staying for 5-10 years or longer probably makes sense. But if you are mid 80’s, experiencing health issues, unable to maintain the property and rarely able to leave your home, now is probably the time to make the move.
What is the advantage of staying? Emotionally it’s hard to leave your home, but look at it objectively and make a list of the advantages of staying. Usually one of the reasons people stay is to maintain their independence, which is important. However, selling your home and moving to accommodations more suitable to your current needs may increase your independence. You may end up closer to necessary amenities and family. Plus turning the equity in your home into cash may put you into a better financial situation.
What would happen if I / we had a sudden serious health issue and could no longer stay in the house? We all experience health changes as we age. But unexpectedly you had to immediately move out of your house how would that affect both you and your family? Would it fall upon your children to pack up and downsize your possessions and sell the property? It would be a good idea to discuss this situation with your family and determine the best course of action.
How would my life change if I sold my home? Would it allow you to travel? Would it improve your financial situation? Would you be able to move to a more convenient location?
Be honest with yourself when asking these questions and start the process of determining when is best for you to make a move.
If you are ready to sell your home for maximum value, the best place to start is by clicking here and scheduling an appointment.
Looking to sell your home? Give me a call today.
Roy Thomas SRES® (Senior’s Real Estate Specialist) is a REALTOR® with Sutton Group Professional Realty. Since 1991, Roy specializes in helping retirees with their later in life real estate transactions. Call Roy at 902-497-3031 or contact Roy here
Have you come to the point in life where you know you need to make some decisions about where you want to live for the next few years? Even if your health is good, you know that your plans must consider your future needs.
Four Factors To Look At
When you thinking about a senior housing plan that will fit your needs, you need to be concerned with four major things: physical and medical needs, home maintenance, social and emotional needs, and financial needs. You want a home that meets all four.
Many seniors prefer to stay in their current home. Assuming you do not have problems beyond what can be managed by modifying your home with ramps and railings and access to family and needed services, you may be able to pull it off. Staying at home is workable if:
– You live in a safe neighborhood
– You have a dependable network of neighbors, family, and friends
– Transportation is available, even when you can’t drive
– Your medical and physical needs are manageable in at home situation
– You have an outgoing personality that makes you able to ask for help and support when you need it
– You can manage your home and yard maintenance
Request Your Complimentary Copy of My
“Preparing to Downsize” Report
If You Have Options, Go For It
If you are basically in good health, able to handle most of your own care, and have the willingness to call for help if you need it, you have a range of options. For example, rather than stay put, you might choose to move to a house, condo, or apartment where there are transportation, home healthcare, housecleaning, and social services available that are designed for seniors in mind. Some of this housing might be exclusively for seniors, while others might have more variety of age groups living there.
As you need more help, your housing options narrow. You might need assisted living where you live on your own, but have care available to you even if you don’t need help 24 hours a day. If your health declines, you might need nursing care. Some people never get to the point where they need these services.
This means that if you are a senior in relatively good health, your main concern is to whether you want to stay in your home or find another place that has just the right about of space and convenience. Throughout the Halifax area, there are many options available whether your initial focus is on downsizing or on finding a more manageable home. Even though you are able to stay in your home, there is a whole new world of housing out there that might interest you.
If you are ready to sell your home for maximum value, the best place to start is by clicking here and scheduling an appointment.
Looking to sell your home? Give me a call today.
Roy Thomas SRES® (Senior’s Real Estate Specialist) is a REALTOR® with Sutton Group Professional Realty. Since 1991, Roy specializes in helping retirees with their later in life real estate transactions. Call Roy at 902-497-3031 or contact Roy here