For the most part, seniors see their twilight
years as a time of uncertainty and scary changes. However, it’s also a time for
new opportunities. Changes can be made less scary and more geared toward
improving your lifestyle, while uncertainties can be alleviated with a good
game plan. This can be accomplished with downsizing.
Now, downsizing can be quite an emotional ordeal, especially if you
are unprepared. As such, the key to making downsizing easier and less stressful
is to break down what seems to be a gargantuan task
into the following small-sized components.
Your
finances
Of the many perks of downsizing, the financial benefits are probably the
most welcome. As you retire and transition toward a fixed income, you will find
that you really don’t want to be saddled by too many bills and expenses. Not
only that, but
you may also want to redirect your income into more worthwhile
pursuits like travel and recreation.
With these in mind, your downsizing efforts
should start with an honest assessment of your financial situation and making
adjustments accordingly.
Your
home
There’s little doubt that your home demands
most of your income, not to mention energy. With utility bills, maintenance
costs, property taxes, and other myriad expenses to consider, continuing to
live in your current home may turn out to be more trouble than it’s worth.
It’s no wonder, therefore, that many seniors
are choosing to sell their homes in favor of downsizing. And with homes in
Santee currently selling at a median price of $598,500 this could prove to be a
lucrative choice that not only guarantees that you’re well taken care of in
your golden years, but that you also get to enjoy them.
Another option that you should consider when
you’re downsizing is to rent out your home. This can also be quite lucrative as
it generates earnings that you can rely on to supplement your fixed income in
retirement. The downside is life as a landlord can be quite demanding. You have
to find and vet tenants, stay on top of maintenance, and make sure that
mortgage payments and property dues are up-to-date. There are, of course, ways
to make this easier on you, but they invariably
translate to additional costs. So with such concerns in mind, renting out your
home, although viable, is definitely not an option for everyone.
Of course, you can always pass on the family
home to your children. However, this option also comes with its own risks. In
fact, it’s important to do your due diligence before handing over
the deed and the keys to a loved one as this very act could lead to a host of
tax issues. There are ways around it, though, so make
sure that you know all your options before making this decision.
Your
possessions
Making the decision to downsize and leave your
home in favor of a more cost-effective and senior-accessible one inevitably
means parting with the many possessions that you’ve accumulated throughout your
lifetime and the memories associated with them. For many seniors, letting go
can be the most difficult part, especially on
an emotional level, which is why it’s important to see this not as a necessary
evil, but as a meaningful step toward what could be the best years of your
life.
You can make this process less stressful by not rushing
yourself and tackling the task systematically. As a rule of thumb, anything
that hasn’t been used in the last year or so can be given away or sold, while
heirlooms and mementos can be passed on to family members. Of course, don’t
forget to keep the most special ones for yourself to take with you to your new
home.
Remember that when you downsize, you are
essentially closing a chapter of your life. Yes, there is room for grief, but
know that there’s even more room for growth. So take it one step at a time,
slowly but surely, and before long, you’ll be enjoying the life that’s waiting
for you.
Compliments of Jim Vogel
Image via Unsplash
As you search around the streets, you may notice there are not as many homes up For Sale as usual. In most parts of San Diego the inventory is down from normal. As the number of homes decline, the law of supply and demand kicks in leading to more multiple offers. So what are the secrets to winning a bid on a home where there are multiple offers? 
