Downsizing For Retirement: A Step-by-Step Guide

by Rachel Christian
September 23, 2022
on RetireGuide.com

Downsizing for retirement takes planning, hard work and time. It involves organizing your current home, donating unwanted items, putting your house up for sale and moving to a new location. Some people hire experts to help, while others rely on friends and family for support.

Millions of older Americans are choosing to go small in retirement.

According to a Zillow report, 46 percent of baby boomers who sold homes in 2017 were in the process of downsizing.

Downsizing is a major decision, influenced by unique financial and emotional factors.

Decluttering a large home is no easy feat. Selling your house, finding a new one and moving your belongings adds further complexity.

In this guide, we explore the reasons people downsize for retirement and share advice from experts on how to navigate the transition.

We also look at other aspects of the process, such as getting your home market-ready and estimating moving costs.

Determine Your Reasons for Moving

Moving is a stressful experience at any age. Downsizing for retirement carries unique challenges.

Before you get started, determine why you’re moving.

In a 2018 study by Merrill Lynch, the number one reason given by respondents for moving in retirement was to be closer to family. The desire to reduce expenses came in a close second.

Not everyone makes the conscious decision to downsize. Sometimes a move is immediate and necessary because of rapidly declining health, the loss of a spouse or an unexpected financial crisis.

Read the rest of the article on RetireGuide.com.