Looking to Downsize?

Retirement is a significant life event that can significantly impact what you need from your home. This chapter of your life can mean traveling, visiting with loved ones, or taking on new hobbies. How does this impact your home? The answer may be downsizing. 

An article by The Balance states that: 

“There are many reasons to buy a smaller home—or to downsize from your present home—but sometimes, the idea that “less is more” is what propels homeowners to buy a smaller home.”

Finding the Right Home to Fit Your Needs

The National Association of Realtors (NAR) determined multiple factors why people of retirement age choose to move. The top three reasons include:

1. Need for a smaller home.
2. Desire to be closer to loved ones.
3. And simply, retirement itself. 

With lifestyle changes, you may need your home to change as well. The Balance also determined that home maintenance is less time-consuming with downsized homes, leaving you more time with the people you love or exploring newfound hobbies. 

Equity Can Make a Big Impact

Home equity can be a critical tool in downsizing and when you sell your existing house and move. CoreLogic’s latest Homeowner Equity Insights stated that the average homeowner gained about $55,300 in equity over the past 12 months.

Chief Economist at CoreLogic, Dr. Frank Nothaft, explained that:

“Home prices rose 18% during 2021 in the CoreLogic Home Price Index, the largest annual gain recorded in its 45-year history, generating a big increase in home equity wealth, . . . For low- and moderate-income homeowners, home equity has historically been a major source of wealth.”

Home prices are rising, but so is your equity! This equity may allow you to make a significant down payment on your new home. More money down will create more financial freedom with a smaller monthly mortgage payment. With today’s competitive housing market, more money up front with help you stand out above the rest. 

I’d love to help you through this process. As a trusted real estate advisor, I will help you reach your homeownership goals and guide you through selling your current home and buying your new one. 

Bottom Line

If you’ve recently retired or plan to soon, your needs are likely changing. That means now may be the perfect time to downsize. Let’s connect so we can work together to find a home that matches your situation.

About Me

Hello, I’m Allison Wood! I moved to Prescott, Arizona, in 1995 with my family. After getting my real estate license in 2015, I signed on with a local new home builder for six years. Now, I’m a part of the BloomTree Realty team and excited to use my expertise to work with you to secure your dream of finding your new home. Please reach out for all your real estate needs.