Through research conducted by Retirement Move, we've learned that the perfect age to reduce staff is 64.Downsizing at this age allows you to bring out the best in your home and means you don't have to struggle with the stress and physical work of moving home. When thinking about downsizing, it's important to forecast ahead for the future. While you may now be agile and capable, what will happen 15 to 20 years from now? According to Helen Guajardo, a real estate expert at KW San Antonio, medical problems or disability are one of the most common reasons why some choose to reduce their staff. The time may come when climbing the stairs of your two-story house several times a day can be too much.
A one-story house or apartment may be more appropriate for your physical abilities for years to come. As adults reach their 50s and 60s, many of them are ready to reduce their size. That often means buying a townhouse to cut back on maintenance or a smaller one-story house to minimize climbing stairs. In short, your home could be hampering your ability to retire.
This is why downsizing to a smaller, less expensive home long before retirement may make sense. Don't wait until you're 50 or 60; move at 40, said Richard Arzaga, certified financial planner and CEO of Cornerstone Wealth Management in San Ramon, California. If the goal is a stronger financial position when you reach your older years and retire, the sooner you reduce your size, the better off you will be, he said. Many people fantasize about funding a large portion of their retirement by selling their current home, buying a smaller home, and investing the difference in income.
However, in reality, they often get far fewer benefits than they expected. You should start the staff reduction process as soon as possible to have time to properly tidy up your home without feeling overwhelmed. A general rule of thumb is that you'll want to start at least 3 months before you plan to move, but honestly, the sooner the better. The development and those who want to live there are part of a growing interest in reduced housing and clustered housing, said owner Bruno Schickel.
If these home features have become obstacles for you, now is the right time to downsize to a safer floor plan. If you have little or no savings and know that retirement will be overstated, staff reduction could be essential, Arzaga said. Also, if you're considering moving, look for a real estate agent who is used to working with older couples who are downsizing their staff. When you're downsizing your home, it's important to find a place that meets both your current and future needs.
To achieve that happy outcome, you must avoid the unexpected difficulties that make downsizing so risky. Helen Guajrado also reports that financial problems are another reason why some consider reducing staff in old age. People who are going through a divorce may no longer need a large house without a full-time family, and it may be cheaper to downsize to a more affordable home. In addition, by reducing the size, the property tax bill could also be cut, depending on your choice of community.
If you think that any step in the reduction and relocation processes is above capacity or you don't have time, seek help. If you plan ahead and reduce your workforce five to 10 years before you retire, you can save thousands of dollars each year. In addition to starting the downsizing process, you can also keep your home free of clutter and things you no longer need. By 2040, aging baby boomers will also bring the population aged 80 and over to 28 million, more than triple the number in 2000, according to a housing survey conducted by the Joint Center for Housing Studies at Harvard University.
No matter your age, you should make sure your house is clean, maintained and paid for, whether you do the work yourself or pay someone else to do it. .