People often make mistakes when downsizing their principle place of residence, but it doesn’t need to be that way. Common traps can easily be avoided by asking a few questions and carefully considering what is at stake.
If you are planning on downsizing your home here are a few helpful tips you might want to consider.
When planning to downsize your home it is important to start with the end in mind. That means forming a very clear view on what you want, so that a defined pathway can be laid towards achieving the desired result.
Whatever your goals are try to keep them SMART (specific, measurable, achievable, relevant, time bound). They might include a combination of things including financial, emotional or property specific needs.
Perhaps your key motivator is to be closer to family, or you require lift access or you simply want to reduce your monthly living expenses. Whatever your goals, once you are clear on exactly what they are then everything else should become easier to plan and the often daunting task of transitioning to your next home will seem attainable.
Real estate can be a lot like discussing politics. Everyone has an opinion, some viewpoints can be quite controversial and many think theirs’ is the only way of seeing the world.
But even before you start contemplating your next property move the best advice anyone could give you is to seek proper independent financial advice. Good independent financial advice will provide a strong foundation on which to transition to your next property.
Considering a longer term financial view with the assistance of a qualified financial advisor should be paramount when embarking on such a fundamental shift in your lifestyle.
After obtaining financial advice if you then decide to get help with the property buying side of things, a buyers agent will be able to act as your advocate and ensure you secure the right property at the lowest possible price so that your end goal of downsizing is achieved with minimal stress and complication.
So many people tend to jump straight in when downsizing and think they must know right away where they want to live next. Let’s face it, if you have been living in the same principal place of residence for a number or years, or in some cases decades, it will take some time to adjust to a new way of living.
If you time the decision to downsize well you will likely be spending a good many years or decades to come in your next home too.
Whether it be a new location or distinctly different style of property you end up living in there is no harm in trying it out first. Renting somewhere for 6 to 12 months should give you a very good gauge on whether it’s the right or wrong move and will ultimately be a much cheaper exercise than buying the wrong property and regretting it later.
When you are contemplating downsizing your home undoubtedly there will be many opinions in the mix of which there will be some you legitimately need to consider.
Family, friends, peers, colleagues and trusted professionals will all have a varying viewpoint to offer. While most will have the very best of intentions in mind some will also have a vested interest and this can make it difficult for them to put forward a truly independent view.
At the end of the day it is important to remember it is your decision and the consequences be they good or bad will have the greatest impact on you. So listen to the opinions that count, disregard those that mean little and make sure you are 100% comfortable with whatever decision you ultimately make.
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Shelley Horton is the founder of Sydney based exclusive buyers agency Albion Avenue. With a 20 year career honing her skills in every aspect of the property industry Shelley knows what makes a property worth buying and how to get the best deal.