Have you thought about downsizing?
We have had a steady stream of clients, this year, who are looking to scale back their maintenance, expenses or both. We will admit, it is not always an easy process, but with some forward thought and planning, it can be both positive and liberating.
The first thing to do when embarking on a downsize adventure is to truly define why you want to downsize, and define why that is positive. Maybe downsizing allows you to work less or retire early. Perhaps the move will allow more time for family or resources for travel. Maybe the change will simply provide peace of mind. Our clients, who have established their goals and focused on them, have found happiness in the process. They feel more liberated and less like they are having to compromise.
Secondly, think about how you are going to use your home in the next five to 10 years, and then prioritize your wants and needs. Perhaps, you love to restore cars, and a three-car garage is a priority. For someone else, a gated community, with yard maintenance included, is key because they travel frequently. Another person may just want to eliminate his mortgage.
The challenge with downsizing is most clients have everything they want in their current home. So, the process of giving something up feels uncomfortable, after a lifetime of trying to move up the ladder.
Next, evaluate the costs. If you are downsizing to reduce expenses, carefully consider your current expenses, and run scenarios for what the expenses in your next home may be (we can help with this).
Perhaps your idea is to move from a single-family home into a condo. While this sounds like a great idea, will it really be less expensive? HOA fees in condo communities are normally much higher, so it is worth taking into account whether the savings on pool and landscape maintenance, for example, will offset these other fees.
Before you actually have to move, do a pre-move, and sort through your things. When downsizing, it is not possible to take everything from a 3,500-square-foot, three-car garage home, and fit them into a 1,600-square-foot condo, with a two-car garage.
Also, if you are trying to simplify your life, getting a storage unit for the extras probably is not the answer. We will admit this part of downsizing can be a difficult process, but, if you focus on the end goal, you can liberate yourself from the burden of stuff.
Speak to your kids and loved ones, and see if they can use your duplicates. Keep just the things you love and will use every day. One of our clients recently told us she decided from now on to just use her Waterford glasses and sterling silver every day. “What are we saving them for?” she said with a laugh. “With our luck, our kids will just donate the lot to Goodwill. So, we may as well enjoy them now.”
Enjoy now, free yourself from storing and maintaining stuff, and you will find a lighter, happier life, no matter your age.
John Karadsheh is the Designated Broker for KOR Properties. He has been a Multi-Million Dollar producing agent for more than 12 years, and is an Accredited Buyers Representative (ABR) and Certified Residential Specialist (CRS). In 2014, John was voted the No. 1 Real Estate Agent in Arizona by Ranking Arizona. You can reach John at (480) 568-8684, or visit his website at KORproperties.com.