Usually, we think of empty nesters or retirees when we hear of people downsizing their homes. But increasingly millennials and families with children are also looking to downsize. Yes, millennials are expecting to save money. However, they’re also realizing benefits of a simple or minimalist lifestyle, and value spending money on having experiences over having stuff. If you have thought about downsizing, here are some positives to ponder.
You may be able to use cash from the sale of a larger home to pay for your new home. But, even if you still have a mortgage, your payments will most likely be significantly less. Property insurance is based on square footage so, it will cost less to insure your new home as well. You’ll also be saving money on your property taxes. They’ll be lower since they are based on the lower value of the new home.
Fewer Home Repairs
The larger the house the more things there are that can go wrong. With a larger home there is a bigger roof to repair. With 3 bathrooms there is more potential for plumbing issues than with 1 or 2. A smaller water heater will save you money in utilities as well as in repair or replacement should you need to do so. The larger the house the more appliances there tend to be. So, as you downsize there will be fewer appliances that will need repair as well. This leaves you with more free time for other activities
While some utilities may stay the same such as internet, trash, recycling, and water usage, you’ll be saving a lot of money heating and cooling a smaller space.
Marie Kondo, the author of the international best-selling book The Life-Changing Magic of Tidying Up: The Japanese Art of Decluttering and Organizing talks about the transformative qualities that decluttering your home can bring into your life. In the KonMari method items that no longer “spark joy” are let go. She also says that decluttering changes your lifestyle and your perspective for the better.
Eco Friendly downsizing will lower your environmental footprint. Installing solar panels and/or energy efficient windows and appliances in your new home may help the planet and bring down the cost of utilities even more.
Pay Off Debt
Using extra funds, plan to pay off any debt you may have. By eliminating or reducing mortgage payments, property insurance, taxes, and utilities there is a great opportunity to pay down any high interest debt leaving you free to do more of the things you love.
Invest for Income
Invest a portion of the profit from the sale of your larger home to create passive income.
More Time and Money for Doing Things You Love
Downsizing can be a doorway to a lifestyle you have been longing for. After freeing yourself from the expenses, maintenance, responsibilities, and stress that come with having a larger home and yard, perhaps you’ll have the intuitive sense of what comes next for you and your family. Maybe you’ll take a gardening class or learn a new language. Maybe you’ll do some traveling. Enjoying the experiences that each new day brings and being less identified with possessions can be liberating. And with a smaller space to manage you’ll spend less time cleaning and more time relaxing doing the things you love.
Texas Best Homebuyers would be happy to discuss with you the benefits of downsizing to a smaller home. We can provide you with accurate, current information regarding the value of your home as well as info on the cost of the home you would like to downsize to in the Fort Worth area. We’ll make it easy for you to compare what your home would sell for on the MLS with a cash offer directly from us. With a direct sale we can offer a quick and convenient closing date, no commission fee or any other hidden fees, no closing costs, and the ability to save you a lot of time! Your satisfaction is important to us. Are you ready to do this? Reach out to Texas Best Homebuyers today. (817) 808-4911