Senior real estate: Are you eager to downsize?

As a senior real estate professional, it’s not uncommon for me to work with clients who struggle to pare down decades of accumulated belongings.  But there is a new breed of empty-nesters who are eager to downsize -- and by downsize, I mean toss their materials aside without regret as they look forward to a new adventure.

They’re ready for the next phase of their life, and it does not necessarily include a family home, another full-size house or condo or even a retirement community. Instead of investing their money in property, they want to invest in life, adventure, fun.

If you fit this emerging crowd of young retirees, there are a few factors to consider as you pursue the newfound freedom you seek.

Downsizing decisions in senior real estate

Timing: Don’t be too eager. Make sure the market conditions favor a sale. If you rush into selling your home in a buyers’ market, you will take a hit on your sale price. Take the time to evaluate the market with the help of a professional and properly prepare your home for the best results.  Make sure, too, that you factor in all the costs associated with preparing your home for sale and hiring movers. Fortunately, most of the San Gabriel Valley market is in a seller’s zone, but that won’t always be the case.

Get an idea of the market conditions in your area by checking out the Market Insider page on my website. Simply change the zip code to review market information for various communities.

Budgeting: Understand your finances. Downsizing can be a great way to save money. But money freed up by lower living expenses can easily translate into money spent on luxuries you did not indulge in before. You may find yourself giving in to the temptation to travel more or buy more high-tech gadgets. It’s perfectly fine to spend your money this way, just be aware that you are not really “saving” money.

Lifestyle: Downsizing, particularly if you forgo the traditional housing route, will bring with it new expenses. For example, if you change your habits to dine out rather than cooking at home, you’ll quickly eat up your housing savings -- literally! If you plan to live on the road, via an RV, you’ll accumulate a different set of expenses that come with a more transient lifestyle.

Whether you’re planning to take to the road, retire to a vibrant arts community or hop the next cruise ship, a senior real estate specialist can help you find your way to the path of freer living, with the best results possible.