When Is Home Downsizing Rightsizing?
As we talked about a couple weeks ago about downtown Dallas urban living , urban condos, lofts and townhomes in Downtown Dallas are attractive for those looking to cut down on daily commutes or be closer to nightimte entertainment and arts options.
But don’t think of downsizing as a move that has to be into the city. Rather, it could simply be a move to a better situation — whatever or wherever that may be for you and your family.
According to Forbes , the idea is picking up steam across:
The housing market might still be uncertain, but pre-retirees and younger retirees are making downsizing plans. In a survey conducted last year for MetLife , 11% of those aged 55 to 64 said they planned to buy a different home within the next three years, and 6% had definite plans to buy sometime after that. Another 12% weren’t sure if they’d move….
A study published last year by researchers at the Center for Retirement Research at Boston College found older folks who had moved as part of a retirement plan were happier than those who stayed put. Seniors who made short-distance moves, staying near family and friends, were the happiest of all. Leavelle, for her part, is aiming to stay near her current part-time job in a specialty clothing store and near the local golf courses where she plays in tournaments with friends…
But aging boomers want more than granite. In place of top schools they once prized, some now demand prime locations close to cultural or recreational attractions. Debra Schatzki, president of Weiser Capital Management in New York City, has clients in their 50s from Bergen County, N.J., who always wanted to live in the city but didn’t want to raise their kids there. Last year, after their last child left for college, the couple bought their dream apartment at a good price, taking advantage of low interest rates. “They looked at this as a pre-retirement move,” Schatzki says.
If you don’t need those extra bedrooms that were once such a blessing, and if you don’t need to be close to certain schools and little leagues, downsizing could leave you with some unexpected options worth exploring.
Consider the ways you might save:
- Lower heating, air conditioning, and energy costs
- Less unused space
- Quicker (and cheaper) commutes
- More ideal tax locations
- And, of course, lower mortgage payments
More than anything else, downsizing provides a sense of freedom — freedom to move closer to friends or family, freedom to move toward a more financially sound situation, freedom to pursue that dream house on the coast.
You can use your previous home as rental income property. You could finally move out to that Texas Hill Country ranch you’ve had your eye on (but that’s been too far from schools for your kids). You could cash in your extra chips and sail to Bora Bora on a yacht.
Contact our Texas mortgage experts . We’ll walk you through your options, and have all sorts of types of mortgages available to match your unique situation.