‘When is the right time to downsize?’ is a question many ask and can be a difficult one to answer. There are all sorts of various reasons why people choose to downsize their home. From the kids moving out to increasing your savings, here are some of the many benefits to downsizing your home in order to upsize on your lifestyle.
Downsize for retirement
People who are approaching retirement sometimes choose to downsize their home. With kids having long moved out and a large home becoming more and more difficult to maintain, downsizing can often feel like a blessing to those facing retirement. A smaller home can mean less maintenance, minimised costs and can even provide a safer environment – such as moving into a one-level home or ground floor apartment with no stairs – to those looking for a comfortable home to retire into.
An apartment can help minimise outdoor garden maintenance, and even provide better location options for those wishing to move closer to every-day conveniences and hobbies, such as: local shops, medical clinics, public transport, entertainment venues, membership clubs and more. Many people living on the Gold Coast downsize their home for retirement in order to move closer to the heart of the city and all of its many conveniences. It’s a choice that has allowed them to live the retirement they dream of with all of the lifestyle choices they love.
Downsize to save money
There are many downsizing opportunities, including downsizing to save money. The ongoing upkeep of a large home can be quite taxing on a family or couples income. Which is why some make the choice to downsize.
Downsizing to save money also means family’s and couples often have more savings to be able to spend on travel and other lifestyle choices, such as: dining out, attending local events, private school fees, increased retirement savings and more.
Downsizing and protecting equity
Last December, Australian Parliament passed legislation allowing “individuals aged 65 or over to sell the family home and contribute up to $300,000 to their Super account”. This means, those looking to downsize their home can inject some of the proceeds from the sale into their Super account.
This downsize into Super, will take effect as of 1 July 2018. It is a strategy that will well suit anyone already looking to sell their property and downsize. It will offer more opportunities to those wanting to make this decision and help make the transition a little bit easier. To read more about this downsizing into Super contribution strategy, make sure to consult with your financial adviser.
Downsize to relocate to a more ideal location
Living in a city, such as here on the Gold Coast, often finds residents having to choose between a smaller home closer to the heart of the city or larger home further away from the city centre. This is especially true for those looking to move to SE QLD (South East Queensland) from a more remote location in Australia. They find themselves downsizing their home in order to live in a more ideal location.
Though this sounds undesirable, especially for anyone wanting space – such as a yard for their children or pet – often families find city life to be the ideal choice. With nearby parks and access to great schools, better career opportunities and more, the choice to downsize to relocate to a more ideal location can prove to be a fantastic prospect for many families and couples.
Downsize and simplify your life
There are many practical reasons to downsizing your home, but one many don’t often think of is its ability to simplify your life. Downsizing your home can mean de-cluttering your life. Having less space will mean keeping only what’s practical and useful to your life and lifestyle and getting ride of stuff weighing you down.
It also means you can downsize with style! Often clutter means less choice on the style, practical uses and look of your interior. Having only select, beloved pieces in your home will allow the style you want to take precedence. Less stuff and a simpler life has more benefits that you can imagine, and it can provide a huge improvement to your lifestyle.