Downsizing

There's lots of reasons people contemplate downsizing. Aging, mobility issues, kids have moved out or planning for the future to name a few.

Downsizing done right

Why downsize?

There's lots of reasons people get to a point in their lives where they start to contemplate moving into a smaller home. Let's look at a few and discuss solutions.

Aging

This is the most common reason I deal with for people that are contemplating downsizing. The unfortunate reality is that age catches up with all of us, and it often comes with significant issues. Energy level, mobility, proximity to health care and/or loved ones are common motivations.

Dealing with stairs in a home can slowly prove to be a huge challenge. Keeping up with maintenance on a larger home and yard also becomes more problematic at a certain point. When coupled with less energy and possibly losing a partner it can create significant safety issues for people if they wind up having a fall or a medical episode.

Finding solutions can be simpler than you may think, although moving out of a home that someone has lived in for decades can introduce even more apprehension and anxiety. I work closely with my clients and their families to empathize and understand that often moving out of these family homes isn't psychologically as simple as just listing and selling a house.

Empty nesters

Many of my clients have had multiple children, and as they grow and move on to their own careers and living situations people start to realize they don't have as much need for larger multi bedroom homes. As well, moving into a smaller home depending on the location often winds up being cheaper, allowing more financial flexibility for people when they sell. Understanding your current home's value and knowing what the market looks like where you'd like to move can be a huge benefit when considering moving into a smaller home

More financial flexibility

Along the same lines of empty nesters, some people realize they don't quite need as much living space. The freedom that can be afforded by selling a larger, more expensive house and getting into a smaller one for less money is very appealing. It can allow you to travel, invest in a hobby or even do additional financial investing for your future. As well, a smaller mortgage payment means more money in your pocket. More space isn't always better, and sometimes it takes awhile to recongize that.

Where to move?

We've identified some reasons people look to downsize, but where should you move? There's many options depending on your needs and lifestyle

Condos

Bungalows

For certain people condo living is very appealing. Depending on the location, you can always wind up with a lovely view. No more yard maintenance, or house upkeep is also a bonus. Often condos have additional amenities such as a gym, pool or tennis courts. Plus having a keyed entry building, some even with concierge service, provides more peace of mind for security minded folks.

The one thing to keep in mind with condos is fees. Some condo fees can be quite high, adding to your monthly expenses. When offering, a good agent will include a status certificate review by your lawyer. This gives the lawyer time to go over the documents pertaining to the condo, and bringing any potential red flags to you attention, hopefully avoiding any unpleasant surprises around condo fees, increases or special assessments.

Single floor living eventually becomes incredibly appealing and even necessary for people as they get older. The ability to take stairs creeps in, and bungalows are a perfect solution. Having kitchens, baths, bedrooms and laundry on the same level helps immensely with any mobility issues, and provides much better quality of life than trying to climb stairs or even installing lifts can provide.

Planned seniors communities

A solution which has gained dramatically in popularity in the last two decades are planned seniors communities. Much thought goes into these places. Two excellent examples in the Hamilton area are 20 Place and St. Elizabeth Village. Both are small, gated communities with bungalow living in a variety of configurations. 1, 2 or 3 bedroom units that are owned, allowing for appreciation and mortgage paydown. As well, some communities have a pharmacy and doctor on duty. Some even have additional amenities such as a pool or gym, or social clubs and events to encourage socialization among the residents. If you or your loved one would rather feel a certain level of independence different from a rest home these types of communities are ideal.

There are also developments that aren't specifically designed for seniors, but often have a very high proportion of seniors living there. Having an agent that knows about the area you're looking in can be key to finding these hidden gems.

Retirement homes

Depending on your needs, a retirement home or senior's villa may be the best choice. Full time care, meals and planned activities are some of the upsides. If 24 hour health care or monitoring is a concern these type of places are ideal for you. Doing your research and understanding upsides and downsides to particular homes is important. You want to ensure you or your loved one is getting top notch care.

Renting VS Buying

This is a question I encounter quite a bit. There's no one-size-fits all answer for it either. Conversations need to happen about you and your family's long term needs, your current health outlook and financial situation. Often renting makes much more sense. Sometimes continuing to build equity through a sale and purchase of your new home is the wisest choice.

I work closely with my clients to understand where they're at, and advise them on the pros and cons of each situation depending on their needs and future outlook.

Common challenges

Having assisted many people and families get themselves or their loved ones into better situations over the years has taught me a lot about certain issues that arise during these discussions and sales. Understanding them ahead of time and working with an agent who can get ahead of them can make the process much smoother.

Decluttering

We've almost all encountered the common issue of accumulating 'stuff'. In a home that's been occupied for decades, it routinely gets to a point where there's so much clutter that it can be overwhelming to an owner, and often causes them to be paralyzed when it comes to moving forward.

I partner with decluttering services, and have many junk removal companies that I work with to assist clients with the decluttering process. It's a big deal yet understanding you're not alone and working with someone who has a ton of experience with removing unwanted items from a house is helpful. Whether it's selling furniture off, renting a storage space and moving items that you'd like to keep or just getting someone in to throw out accumulated things, I have contacts that can make the process much easier.

Emotional attachment/Fear of change

This is often the most difficult issue to navigate. If you've lived in a house for 20-40 years, raised a family and saw them move on, this can feel like an insurmountable problem. I've dealt with many clients who understand staying where they're at isn't a viable long term plan, but struggle with the thought of moving on from a home that's been their identity for the better portion of their lives.

Having honest discussions around this is key. Pushing or trying to force people to move on rarely if ever works, and often has the opposite effect of making them even more afraid of moving on with the next phase of their lives.

As well, as humans we tend to shy away from change. Few people are comfortable embracing a new situation, and when you've been living somewhere for a long time the unknown factors of a brand new living situation can be almost too much to contemplate.

Understanding these conversations and approaching them with compassion and empathy are the best way forward. I've dealt with many clients and have experience navigating these tricky life shifts.

In conclusion...

Downsizing doesn't have to be a frightening or overwhelming process. Working with the right agent can mean a bright and happy future in a new situation that suits your changing lifestyle!