The home has always represented a large financial investment, with the prospect of a return on the commodity being quite high. Assuming that the house is well-maintained and located in a pleasant area, homeowners have consistently expected to receive a quality payout for their homes. Baby boomers have begun to realize that, in this market and with social change so prominent, that concept is no longer the case. So, the question of what should be done with the home has become more and more difficult to answer for this older generation. Regardless of the eventual conclusion, it is far more pertinent that homeowners give adequate consideration to their options so they can make the most appropriate decision for their circumstance. Whether you decide to downsize or stay, you can determine which option is best for you.

Downsizing Your Home
The act of downsizing indicates a transition from a larger residence to a smaller one in an attempt to raise profit and lower costs. Home equity is often a serious factor in the satisfaction one finds in retirement, and without it, most baby boomers do not have enough with pensions and savings to create a sustainable lifestyle. When you downsize, you want to make sure you get the most for your family home.

Though the housing market certainly looks more appealing than the stock market currently, it is more prone to drastic fluctuation resulting in a significant value decrease. The stock market is certainly known to oscillate regularly, but the real estate sector is traditionally more steadfast. Downsizing is optimal at this point in time because of the nature of the market—if you wait longer to sell, you will see the value of equity in your home decrease exponentially. To make the most off of this huge financial investment, making the decision to downsize as soon as possible is certainly logical.

How To Decide
If you’re concerned about the concept of selling your family home in order to downsize and take advantage of the current state of the market, you can examine your specific situation to come to the best conclusion. For instance, you should know how much you want to have left over after you feasibly sell, the estimated value of your house in the current market, and how much your house is estimated to increase or decrease in value over the years that you would stay. 

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