Are you pressurised by family and friends to downsize or perhaps your own difficulty to cope with a big empty house and large garden? Do you often ask yourself: Do I really need all this stuff?
The best time to decide on how to live your life once you’ve retired is when both partners are still alive and are still mentally and physically active.
The decision to downsize sets you on an emotional rollercoaster and can often leave you with more questions than answers. Get some tips…
What does downsizing mean?
Downsizing means simplifying your life by reducing your possessions and moving to a smaller home. It is often inevitable especially when you’re no longer able to physically or financially keep your home.
As you get older, it becomes more difficult to maintain a large home and garden, and all the possessions you’ve accumulated over your lifetime start to become a burden.
1. The reality of timing
Time is a critical consideration. You need to be emotionally ready to downsize.
The best time to decide on how to live your life once you’ve retired is when both partners are still alive and are still mentally and physically active.
If a spouse suddenly dies, the responsibility of sorting through the shared belongings and selling the house ultimately falls on the remaining spouse and the children.
The older you become, the more difficult it becomes to move. Moving costs money, so it is important to downscale before your move and only move the stuff that you really want in your new home. Enlist the help of your children in sorting and purging, but often it is wiser to get professional organisers to assist, eliminating having to deal with all the family attitudes and emotions.
2. Selling your home?
Selling your home can be an emotional experience as it has become a huge part of who you are.
– Consider what you’re going to do with the money from the sale. Are you going to invest it and rent or buy a smaller space? See an investment advisor for advice.
– What would the return on investment or the sale of the smaller property be in a couple of years’ time?
– Consider expenses, levies, maintenance, security and potential hidden costs for the new home. Smaller does not necessarily mean cheaper. Do your homework to ensure that you really save in the long run.
3. Shed your excess baggage
You have spent much of your life accumulating possessions. This is the most difficult part of downscaling, and finding that the things you’ve valued all your life, no one actually wants, that the things you thought would bring in money, just have to be given away to charity. All of this is emotional and can wear you down.
The decision to keep the possessions should be based on the necessity of the items and not their importance to your past.
– Gift any valuables, heirlooms and sentimental items to your heirs, minimising estate duties later.
– Anything that doesn’t fit into your new home, which neither you nor your children want, can be given to a charity or sold to unburden your heirs from excess stuff when you’re gone.
4. Assess your needs
Consider the size of your new home carefully. Decide how you want to live your daily life and the activities you intend on participating in, remembering your hobbies, health and interests. Where would your children stay if they came for a visit? Would you still be able to entertain friends?
5. Decide where you want to live
Do you want to live in a smaller independent house, a retirement cottage or an apartment in a retirement complex? Is it important to live close to a child or intimate friends?
Do you prefer living in the mountains, at the coast or in the big city?
Before you move, ensure that you’re absolutely happy about the climate and area where you want to live out your last days.
6. Do your pricing
Make sure that your expectations of bolstering your retirement by downsizing are realistic. Take the financial and mental impact into account. Moving takes a big chunk out of your wallet and is emotionally draining. You might even have to invest in new furniture to fit into your smaller home. You might need to make upgrades to accommodate wheelchair access or a suitable equipped shower.
Consider living a downsized lifestyle before being forced to. Downsizing can make your life simpler, easier and cheaper. Live the life you’ve imagined with less maintenance, less stress and more money to do the things that you enjoy.
SOURCE: www.property24.com
