In the current seller’s market, downsizing presents potential financial advantages, making it a strategic move for homeowners. According to Keeping Current Matters, 33 percent of homeowners planning to sell are considering scaling down. Here are compelling reasons to downsize now:
- Cost Savings:
- A smaller house translates to reduced space and lower maintenance costs.
- Decreased monthly mortgage payments free up more funds for retirement savings.
- Financial Strategy:
- Leverage proceeds from selling your current home to pay cash for a smaller property.
- If full cash payment isn’t feasible, opt for a short-term fixed-rate mortgage for the remaining amount.
- Lifestyle Considerations:
- Define the desired lifestyle post-downsizing to narrow housing options effectively.
- Clarify goals and priorities to align with the right-sized living space.
- Equity Utilization:
- Assess if your current home has accrued sufficient equity for a profitable sale.
- Utilize the equity to secure a substantial down payment for the next home.
The Olear Team can guide homeowners through the downsizing process, ensuring a smooth transition to a more suitable living arrangement.