Did you know that retirement is also synonymous with the moving season? While retirement may feel like the end of an era for some, it can become the best part of your life if you play your cards right with proper retirement planning.
Many aging couples feel they won’t be able to fully enjoy their golden years while being weighed down by a big house to take care of. Can you relate? In order to embark on a new journey, we often must let go of the past to make room for our next adventure! That’s why many couples consider downsizing and selling their home upon retirement.
Wouldn’t it be great to enjoy this next chapter feeling as light and carefree as possible? As a retirement gift to yourself, downsizing can improve the quality of your life and give you more freedom for retirement plans or travel. Downsizing does not necessarily mean giving up luxuries. On the contrary, it means minimizing responsibilities so you can maximize your enjoyment!
Feeling hesitant before taking a big step like selling your home is completely normal. There are many years of family memories and special moments that took place in this space. But you can keep those good memories and feelings with you even if you leave your house behind.
To make sure you get the best deal possible, we highly encourage you to partner with a trusted real estate attorney like Ben Weaver. With an experienced real estate lawyer on your team, you can put all your worries to rest and sail through the process smoothly. This way, you can enjoy your retirement to the fullest…
Should You Sell Your House When You Retire?
Reasons To Sell Your Home When Retiring
When your adult children move out, the house can feel empty and hard to manage. As we age, it gets more difficult to keep a big house clean, maintain the yard, and replace/repair things that need fixing. A smaller home (or even moving into an apartment or condo) generally means there is less of a financial strain, a lower mortgage to pay off, and much less house to clean.
Let’s take a look at the upsides…
- Increased Cash flow: Generally, the smaller the living space, the less expensive it is. Instead of putting every penny towards your mortgage, enjoy your hard-earned money in different ways!
- Eliminate Clutter: Downsizing presents the perfect opportunity to declutter. We accumulate numerous pieces of furniture and sentimental belongings over time. Moving to a smaller home presents an opportunity to prioritize what belongings are most important to you.
- More Free Time: After downsizing, tedious household chores become less time-consuming because there are fewer shelves to dust, less carpet to vacuum, and less house to clean.
- Lower Utility Bills: A smaller home incurs less utility cost. There are fewer rooms to heat up or cool down, fewer bathrooms to run the water bill up, and fewer lights on.
- Minimize Stress: This free time lets you take up new hobbies like painting, playing tennis or joining a book club. It can also mean more time for family and friends, helping you strengthen bonds and get more enjoyment out of the simpler things in life – especially in retirement.
Read our previous blog about how to downsize effectively!
Selling Gives You More Options
Now that your kids have moved out, you have ample time to do all the things you’ve put on hold. A big house may hold you back. Buying or renting a smaller home with all modern amenities can give you more options to explore your life. You can travel more, move to another city, or buy the dream house you’ve always wanted but couldn’t get due to kids and other responsibilities. The possibilities are endless when you have the time and energy without a big house holding you back.
Did you know that 1 in every 6 couples decides to sell their house when planning for retirement? Renting a luxurious home, with the return on investment from selling the house, can become the best decision of your life with the help of experts from 23 Legal, who can give you the best real estate advice.
Owning a home can be a great investment, but it’s important to see a return on investment (ROI) before you can truly consider it as such. Downsizing and selling can provide you with ample funds to enjoy a luxurious retirement, and by the time you retire, you’ll have paid off your mortgage and your house will have gained value. This can allow you to fulfill your dreams, such as starting a new hobby, learning new skills, or traveling, which you may have put on hold.
Retirement is, therefore, the perfect time to sell and move on to your next adventure. Selling your home can also help you save on the repairs, upkeep, and maintenance of a large house you no longer need. So, don’t be afraid to take the leap and move forward toward your dreams!
Avoid Property Taxes
Apart from the maintenance and upkeep expenses, you also avoid expensive property taxes when you sell your property around retirement. Property taxes are mandatory, and the house owner pays them every year. The amount varies from state to state. However, it’s a hefty one. Downsizing and moving to a rental means you can avoid the burden of paying property taxes every year.
Simplify Your Life
Being tied to a house means you can’t live life to its maximum potential. Selling your home can also allow you to be close to your kids and loved ones. Rentals simplify life and you don’t have to worry about maintenance costs, taxes, and other expenses of a big house. You can also enjoy many amenities with the modern rental, i.e., community, parking, parks, gym, sauna, etc. Gated communities are also ideal for retired couples as it adds iron-clad security to your living standards and luxury.
Read our article about what to ask your estate planner!
What to Consider When Selling Your Home in Illinois
Managing a household can be a full time job! The older we get, the harder it can be to maintain. Maybe your kids are grown and out of the house and you need less space. Maybe you are less mobile than you once were and the move to downsize your home to a one story house would eliminate the need for stairs.
There are plenty of valid reasons to downsize your home…including retirement! There is no shame in adjusting to your needs as they evolve. The next phase of your life can seem daunting, but 23 Legal is here to help facilitate that transition.
Have a Clear Idea of Your Retirement Goals
You should be clear about your retirement goals. What have you planned for retirement, and how much money will you need? A clear plan will help you see how you should go about selling your house. The timeline matters, too; do you want to sell your house urgently, or do you have the time to wait a year or so to get the best price?
Know the Worth of Your House
Do you know the market value of your house? If not, you may need a professional to guide you. Ben Weaver, an expert real estate attorney, can help you understand the value of your house and determine how much you could gain by selling it as part of your retirement plan.
Staging the House
If you are certain that you want to sell your house quickly, there are some homeowner tips you can use to stage your home and optimize its appearance. By staging your home well, you can increase the chances of a faster sale. To do this, start by decluttering and cleaning, making minor repairs, and giving your home a fresh coat of paint to make it look neat and tidy.
Hire a Professional
If you want to make sure that everything is taken care of, you might want to consider seeking professional assistance. Why not hire a real estate agent to stage your house, target the right audience, and showcase its best features? It’s a great way to increase its value and catch the eye of potential buyers.
Do you need help talking to your aging parents about estate planning? We can help!
“It was a pleasure to work with Ben Weaver and the entire 23 Legal team! Ben is highly knowledgeable, very responsive and made both the process of closing on a home sale and purchasing a new home go very smoothly! All in all, I highly recommend Ben and his team!” – Client Testimonial
Plan Your Estate, Sell Your Home, and Retire in Style with 23 Legal
Selling your house for retirement is a great plan, and hiring a real estate lawyer or attorney can expedite the process and help you earn the profit you deserve on your investment. If you’re curious about the state of the housing market in 2023, click here!
Whether you are getting older and want a more accessible home, or you are a recent empty nester with more rooms and space than you need, we’re here to help! When you are ready to sell your home, contact attorney Ben Weaver to assist you with the closing process AND with adjusting your estate plan accordingly. Don’t have an estate plan or living will? Have you been wanting to set up a trust? Let’s fix that!
Connect with 23 Legal to make your retirement transition smooth and hassle-free. You’ll get the best advice and legal representation available for your dream retirement situation. Whatever your goals may be, we’d love to help you get there.
Not sure if you should sell your home before or after you retire?
Need expert guidance to lead the way?
Contact 23 Legal and we’ll take care of the rest: (847) 447-6004
Why Choose 23 Legal
23 Legal offers Real Estate and Estate Planning legal services to individuals, families, community associations and small business owners throughout Chicagoland. We know how intimidating “the law” can be. In fact, when most people think of law offices, they think of stuffy leather chairs, huge wooden desks and pompous lawyers who charge outrageous fees. That’s not us! We believe in 1-to-1; the same lawyer should work with you all the way through. Whether you have an estate planning issue, family trust concern, or you have a legal problem in regard to a new home, business, real estate or remodel, you need a lawyer who cares. That’s where Ben comes in! We are great listeners; more than that, we are lawyers who believe that our clients always come first.