Downsizing Guide for Retirement
Thinking about relocating and downsizing when retirement approaches can be a huge decision that comes with mixed emotions. There are many factors to take into consideration. While some seniors may want to spend a lot of money on expensive retirement homes, others may look to save money and make more memories. Below are some tips to consider when planning on downsizing for your golden years.
Is It the Best Time to Downsize?
Before you take the steps to downsize, it is essential to make certain it is the right timing. If you are needing to move into an assisted living facility, the timing will be facilitated most by your physical needs. If you are looking to retire and save money on housing by finding a smaller home or apartment to live in, you will need to consider factors such as the strength of the real estate market, housing values, interest rates and lifestyle goals.
Establish Reasons and Goals for Downsizing
Before you settle on a place to move to, it is important to establish your goals and reasons for wanting to downsize. Most people have one of two goals in mind. If your goal is a financial one, you will have to figure out the amount of money needed to be released from equity or save on monthly mortgage payments. Determine why it is important for you to downsize and move. Is it for healthcare reasons, friends, family, activities, weather, senior services or amenities? All of these should be taken into consideration before choosing where to downsize to.
Make a Plan and Stick With It
Once the decision to downsize has been made, it is important to get it implemented right away. If anyone will be helping in the downsizing process, it is important they have a copy of the plan as well. Have all of the necessary steps included to help streamline the process and ensure it goes as smoothly as possible.
Get Rid of Unnecessary Items Before Moving
In order to successfully downsize, it is going to take a good bit of decluttering and getting rid of items and belongings you no longer need. When deciding what is going to go with you, consider the size of your new living space. Tackle each space of your current home and determine which items you will sell, donate or give away. Below are some questions to help you consider what to keep and what to get rid of.
- Is the item still needed?
- Do I have multiples of this item?
- Will this be able to fit into a smaller space?
- Do I really want or need this?