Housing Considerations to Help You Decide
As your lifestyle and circumstances change over time, so do your housing needs. If you find yourself an empty nester still living in your large family home, you may begin to wonder whether it makes sense to downsize. Keep in mind that downsizing isn’t your only option. Based on your specific needs, lifestyle goals and financial situation, you may decide it makes more sense to “rightsize” or make no change at all.
Following are several considerations to keep in mind as you evaluate your options.
Downsizing
If you find yourself dreading the upkeep and maintenance that come with a large home, downsizing may be a good option. A smaller home means fewer areas to clean, lower utility bills and less upkeep. Even more importantly, a smaller footprint may allow you to accelerate your retirement goals through reduced carrying costs of your residence. Downsizing may also be the right option if you plan to travel a lot or hope to purchase a second home in a different location.
Before making a move to downsize, ask yourself the following:
- Will a smaller home accommodate my lifestyle, hobbies, entertaining needs, etc.?
- What furniture, décor and other possessions will I need to get rid of in order to live comfortably in a smaller space?
- What type of community and home am I looking for?
- Am I looking for additional amenities, such as a pool, tennis courts, a golf course, etc.?
- How will my relationships be impacted by a move? Will I be able to maintain my current social and family connections in a new location?
- Will I still have convenient access to services and support?
Rightsizing
Rightsizing refers to finding a new home that better aligns with your current and future needs and lifestyle goals. Rightsizing doesn’t necessarily mean moving to a smaller home but rather finding a new home that offers features and/or amenities your current home doesn’t. For example, perhaps you’re experiencing mobility issues and would have an easier time getting around in a single-story home. Maybe you want to move to be closer to family. Or perhaps you’re hoping to live in a retirement or maintenance-provided community.
As you’re considering your options, ask yourself the following questions:
- What lifestyle changes must my new home support?
- How will moving impact my current relationships, including friendships and time with family?
- What home features am I looking for?
- Will this home continue to meet my needs in the next five, 10 or 20 years?
- Will I still have convenient access to services and support?
Staying Put
Rather than moving to a new home, it may make sense to stay where you are. As long as you’re happy, there’s no reason to force a move. The benefits of remaining in your current home include maintaining familiar surroundings and established social networks. Staying in your home can also save you significantly on moving and transaction costs — and it might allow you to keep a more favorable mortgage rate than is currently available in the market.
Ask yourself:
- Will the layout of this home continue to meet my needs five, 10 or 20 years into the future?
- Will my changing needs, such as mobility issues, impact my ability to stay in my home?
- Will I be able to keep up with the costs and physical requirements of maintaining my home?
- Does my current home have the amenities and features I need?
