Downsizing is common amongst people who as they get older find that their large house is simply too big for them to manage. In addition, as economic circumstances change, we are all looking for ways to save money or find ways to realize some money from our assets. Downsizing is one of those options, but there are some things to think about if you are thinking of downsizing.
While it is a big step, downsizing often helps reduce some stress in life as it could solve some pressing money issues or simply reduce the burden of having a large property to look after.
Just to complicate matters further consideration must be given to the contents of the house you are wanting to vacate as downsizing means that you will be moving to something smaller. What do you do with those possessions of monetary and sentimental value?
So, downsizing essentially is about doing the sums, to see if it’s financially worthwhile, finding a suitable smaller place to live in, and then solving the problem of what to do with your excess possessions.
Why Downsize? Storage Great Yarmouth
Downsizing is no small matter. You may have lived in a house for many years, perhaps all your working life. This means it’s full of all kinds of possessions and it’s likely that it’s too big for you since the children have left home. The main reason for downsizing is often a money issue. To save money or to put some money in your pocket, there are a few ways you could do so when moving from a big house to a smaller one.
- Savings on monthly expenses
Depending on the conditions, a smaller house would cost less in electricity usage, general maintenance (especially if it’s a retirement home), and other related expenses like insurance. It is particularly beneficial when interest on investments or retirement funds is at a low level like now. This will help bump up your cash flow.
- Profit from the sale of your house
This is a good way to put some money in your pocket. Your money is tied up in an asset that has value but is too big for you and may become more difficult to upkeep. However, you may have sentimental value in the house as it’s where you have spent much of your time and you have a rich history associated with it. However, by selling, you have a once-off opportunity to bump up your savings and the ability to move into something more manageable.
Hidden Costs Storage Great Yarmouth
While you may be tempted to think of your profit as the difference in the price of the house you are selling and the one you are buying, it’s not the case. Consider the following when selling your house:
- Conveyance fees are to be considered: you can budget for about £2500.
- Estate agent fees can be reasonable if sold by an online agent who charges around £700, while normal estate agents could charge anything between 1.5 to 2%.
- Stamp duty on your house starts at £125 000 pounds, where you pay 2% between that figure and £250 000 and 5% on amounts over that amount.
Moving costs should be budgeted for and will depend on the number of household goods you are moving to. A figure of £1200 would be a safe bet if it’s an average amount and you are not moving too far away
Where to Downsize to?
Before you decide to downsize, it’s best to do your research on alternate accommodation options. You will be up against new first-time buyers and could find some competition in the smaller accommodation market. Most downsizers don’t move too far from where they have lived all their lives, staying in contact with friends and family in the area.
The smaller properties that are in demand are likely to be the ones with a garden, be close to all the amenities, and will be accessible to transport networks.
When considering a retirement home, some forward planning is required. This is because often there is a long waiting list. Because they are in high demand, their comparative prices for the size offered are high. So, you could be downsizing but you could only end with some small change in your pocket. So, if you are downsizing for a monetary reason, a retirement home may not be your best bet. They are also small, which poses the problem of what to do with all the belongings you have accumulated over the year.
Ask about the additional service charges and if there are any extra utility fees so that you can do your budget calculations and not be in for surprises later.
You may find a property at short notice, or a retirement unit suddenly becomes available. Faced this dilemma you could put your household possessions in a self-storage unit until you can plan with them
Stop & Store Great Yarmouth is well suited for downsizers who need a self storage place to safely store household goods.
Packing up is an onerous task, and there will be a lot of decluttering to do. We suggest a good clean out and disposal of all the junk that you don’t use. This will make way for the job of packing up everything to clear the house. There will be two categories of household goods that you will need to separate from each other. Depending on the configuration of the new home you are moving to, you will be able to allocate furniture accordingly and put aside those items you are not taking with you. As everything won’t be accommodated in your smaller home, selling these on a garage sale wouldn’t realize their true value.
While hoarding should be discouraged, you may have family heirlooms and valuables that are irreplaceable. In this case, if they can’t be assimilated into your family member’s home, self-storage will be your best option. It’s an inexpensive and safe way to store goods.
By moving your items of value into self-storage you can prepare for the move and the house can be cleared. Storage Great Yarmouth
Final Thoughts Storage Great Yarmouth
While downsizing seems like a big mountain to climb, it is worth it when you get to the top. A change is sometimes as good as a holiday, and if you are going to be better off financially as a result then it would seem to be a good thing to do. It’s a way to improve your circumstances, maybe a new environment with nice amenities and organized activities, and an opportunity to make new friends.
Oh, and don’t dispose of your possessions too quickly, even though decluttering is good. We are right here at Stop & Store if you need some storage space in Great Yarmouth and nearby.
Call us at 01493 803991
Located in: Great Yarmouth NR30 1LS