Why downsizing in your 50s is a great idea
Really think about it: how often do you hang out in your spare bedroom? Is your garden growing wilder than you can handle? Renovating is a nuisance and you can’t stand the sight of all these random items piling up in your living space? Oftentimes seeking a change in your life is a good idea. Downsizing is the trend worth jumping on!
You might have already thought about downsizing your home and the benefits of doing so. Starting in your 50s is the perfect way of enjoying a fun lifestyle AND to prepare for retirement. If you are unsure about the timing, how it works and what’s really in it for you, read on and be amazed by our breakdown of everything you need to know.
What is downsizing?
In principle, downsizing talks about selling your current property to move into a smaller space. But that’s not all there is. We wouldn’t waste your valuable time if this was all we have to say.
A lot of people decide to make the move and scale down when they are way past retirement age and can’t deal with their four walls anymore, mostly forced due to health or financial issues. The cosmos of owning property and preparing for retirement is a big one. Rightly so, a very important topic. However, downsizing is far away from a retirement village! It’s better.
It’s about finding the right moment to make the most of your living situation while securing your future master plan by getting comfortable in a much more practical space that suits your lifestyle.
Actually, your retirement is not necessarily the key reason why you choose to downsize. You can still be a full or part time working force or living semi-retired and go for the big move. No need to wait until the age pension calls before you can experience a glowing new home with enough time to be a shining star.
Being in your 50s is a fantastic opportunity to start your downsizing journey and here is why.
What are the benefits of downsizing in your 50s?
Choosing a space that suits your needs more effectively has its perks for many reasons. And if you start in your 50s, you are young enough to enjoy it to the fullest – for longer!
Less space, less responsibilities
You could have the greatest mansion to roam around in, but if you don’t make use of all the rooms, what is it good for? If you choose to downsize your home, picture this.
Less time to spend on cleaning floors and surfaces is in store for you. Sounds good, huh? Keep listening. Grooming the garden won’t be a big deal anymore. The list of things to replace or fix in the house will reduce with every room you let go off. Less space means lowering your bills and housing costs too. Invest the saved sum into fun activities instead!
Also just to clarify: smaller doesn’t mean tiny living space. You can still find great housing options that suit your plans while making your monthly budget smile.
Living like a star
Now, practicalities aside, downsizing to a more compact housing type allows you to free up time for a bigger lifestyle too. Depending on your new neighbourhood, you might have closer access to gyms, cinemas, parks, community centres and more. Having some things left on your bucket list, like getting a pet or signing up for a pottery class – now you got the extra time to go for it, no excuses allowed. Let a blooming social life take over the amount of gloomy responsibilities. The entertainment avenue is open!
More money for more adventures
Do you actually know how much extra money is hidden in your current home? Selling your house in your 50s can free up a good chunk of equity. The property market is currently on fire, allowing you to catch a nice price for your family home. When downsizing with a model like Lifestyle Communities, you can then buy a new one for 70–80 percent of the average housing price including fantastic facilities. You’d be surprised to see the amount of additional digits on your bank account you set free! That’s more pocket money for your retirement plans. Find out how much you could gain with the home equity calculator.
Sleep safe and sound
Having unlocked extra savings from downsizing your home is quality peace of mind for homeowners. If that’s not making for a perfect night’s sleep, we don’t know what will. Moving is also a great opportunity to review your safety measures around your property. A downsized home often comes with fewer touchpoints to take care of, making it a safer place to live in. Lifestyle Communities also offers properties within a secure gated community and on-site Community Managers. Meaning when you are away travelling the world, your home gains some extra pairs of eyes to protect it from any stranger danger. Sounds like a dream, but it’s real!
When does downsizing not make sense for you?
Although it’s a great opportunity, downsizing might not suit everyone’s circumstances. When is the best time to downsize? The answer depends on the quality of life that you want to maintain.
If you are much younger than 50 years old, It might be too early to sell your home in order to get the best savings out of it. Consider the difference between your home loan and how many more years you have to go before it's paid off. Is the equity you could gain worth downsizing now or should you wait to get a better result?
Depending on the amount of people living under one roof, it can be better to have more space available too. Have not all the birds left the nest yet, you probably want to provide them with a place of retreat until they can spread their wings and fly on their own.
How to prepare for downsizing
You worked hard for your property and should downsize the right way without losing any of your efforts. Your home is supposed to be a place you love to come back to. And the idea of downsizing is built on finding a comfortable premise that doesn’t compromise on your desires and wishes.
Follow our checklist on how to tackle the project: smaller house, bigger lifestyle.
- Know your current spendings and monthly budget
- Calculate how much equity you might free up by selling your current property
- Check how much in savings you got sitting on your bank account
- Speak to a financial advisor or property lawyer for legal clarification
- Identify which kind of lifestyle you want to follow from retirement onwards
- Inspect the local areas you could see yourself living in
- Make a list of essential and nice-to-have features
- Create a floorplan with the minimum space you need
- Be open for a change
Downsizing is a great step to make, but it comes with lots of preparation and adjustments. Be sure you are ready to face the work that goes into the move before reaping the juicy benefits.
Why is Lifestyle Communities a great option to downsize?
Lifestyle Communities is not a new thing in the real estate world. We have been on the market for 20 years championing homeowners, still working, semi-retired and retired, to live a bigger life.
We take away the overwhelming feeling of housing options and where to start. Find a selection of downsized homes with great facilities outside your doorstep and a community with the same idea of living close by. Explore affordable, high-quality homes in Victoria and pinpoint at your dream house.
Seeking that all-year-round holiday feeling, it’s happening right here: Moving to Lifestyle Communities comes with indoor and outdoor pools, fully-equipped gyms, lunch spots, a library and business centre, workshop and crafts spaces.
The Clubhouse, a relaxing space of retreat, is another vacation-vibes destination connected to your downsized house. And for the sporty peeps, thrive on the croquet or pickleball court, jump into a fishing boat or start your marathon at the heart of the community.
Arrange a tour, inspection or zoom meeting to find out more or call us on 1300 50 55 60 for any questions.
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