Are you a senior or know of a senior who’s considering selling their house? Many seniors are considering selling their houses, but still remain indecisive about the matter.
Perhaps for retirement, you want to move closer to your children and grandchildren, move closer to nature, to a warmer climate or simply want to downsize into a smaller and more manageable property. Maybe you dream of relaxing in a retirement community surrounded by great friends and your favourite hobbies.
These concerns are completely understandable and actually typically exist for any homeowner, regardless of age. The answer depends on your individual circumstances. Factors to consider are the related costs, the intangibles (such as freeing up funds that you might need for travelling) and any health issues. Weighing all the factors will help you decide if now’s the time to sell.
5 Telltale Signs that Retirees Should Sell their House
1. Living on a fixed income becomes difficult
You’ve heard of the news, more and more retirees are finding it hard to retire solely on their fixed income. Retiring with limited income is one thing, but having to retire with rising inflation’s another challenge. Social security benefits and pensions usually can’t cover monthly costs anymore, but could only serve as a supplement for a retiree’s main income, if there’s any. More and more seniors are selling their houses to cash out their equity and live a more comfortable lifestyle.
2. Home ownership expenses
It’s costly to own and maintain a home. Mortgages are expensive and with little monthly income, it’s very challenging to refinance. Even without a mortgage, the costs of property tax and utilities all add up. Seniors have realized that the once upon a time dream of living in their lifelong home doesn’t hold the same luster it once did. By seniors selling their properties and downsizing or moving into a retirement community, they can reallocate the costs of homeownership and their monthly cash flow.
3. Home maintenance and repairs
Maintaining a home requires routine maintenance and repairs. Painting, landscaping and other odd-jobs around the house can add up to a hefty bill. Costly repairs often include water heaters, garage doors, appliances and HVAC and roof replacements. Generally the older the home is, the more expensive the repairs.
When seniors are liberated from homeownership responsibilities, it won’t only reduce their financial risks but can also lighten up both their stress and workloads.
4. Physical challenges at home
As people age, health becomes an increasingly determining factor in their decision making. If a senior has a problem with their mobility, then living in a two-storey home can be an everyday challenge. They can make possible modifications, but this will of course entail costs. On the other hand, if your current layout has fewer stairs or is all in one level, widening doors for walkers and installing senior-friendly accessibility features can be an option.
For senior’s living independently in their own home, family members are often worried about their safety, especially in emergency situations. Although serious health concerns aren’t the usual reasons for downsizing, these are the common reasons for moving into a retirement community.
5. Living in an empty nest
Not only will they have to shoulder the entire costs of homeownership and its responsibilities, it might come to a point that it doesn’t make sense anymore. An empty nest can feel lonely sometimes and may even contribute to more serious mental health concerns. This is another reason why many are opting to move into a retirement community.
These senior communities can offer opportunities for socialization and a chance to explore interests and hobbies.
The Answer is Now
When should a senior sell their house? It all depends on the factors mentioned above. If you love your home and all the memories it holds, you might decide to stay even though it might not make sense financially.
This decision’s a personal one. Calculate the costs of moving and compare them to the savings. If it’s not a large amount, it might not be worth the trouble, but if the savings are substantial, selling might be the best move.
Bonus: Sell to an iBuyer
If getting your property ready to be sold on the market seems like a daunting task and you’d rather just have the property sold quickly without the hassles, there’s a solution to that.
Introducing iBuyers. iBuyers typically offer a cash payment based on market data and other tools. If you agree with their offer, the deal can close in just a few days. When dealing with iBuyers, be assured that it’s aguaranteed deal.
This trend is gaining traction nowadays due to its quickness, efficiency and the fact that the property can be sold ‘as is’.
We’re Here to Help!
Jellyfish Real Estate’s a team of real estate professionals. Our goal is to simplify your life, so you can spend less time worrying about real estate and more time enjoying life.
If you’d like to learn more about real estate or if you have any questions or concerns about selling your property, buying your next home, opting to rent or rent-to-own, visit our website or contact us today.