Whether you are gearing up to retire, are a new empty nester, or are simply considering your options with an upcoming move, you may want to consider downsizing.
REASONS TO DOWNSIZE
The truth of the matter is that larger homes cost more money. Are you currently mortgage broke? Do you have money set aside for other things? Perhaps you know you should be saving for retirement or your kids’ education or setting aside money in an emergency fund, but there never seems to be enough left over at the end of the month. Plus, maybe you’re still struggling to get a grip on old debt.
What if you reduced your mortgage by $500 a month and put that cash towards other financial goals? Dave Ramsey, the money guru of Financial Peace University, suggests that you could make real headway on getting rid of debt, fund an emergency fund, boost your retirement fund, and you could even pay off your new mortgage early!
Larger homes not only cost more in financial resources, but they also take more of our time resources. Time to maintain, to clean, and to organize our stuff. With a larger home, most of us tend to acquire more stuff. This stuff, of course, also takes time to maintain…and money, too!
If you’re asking yourself right now, “Yes, but what do I do with all of the stuff that I already have?” More and more people are saying and believing that “less is more!” If you believe it, then sell your stuff. Convert it to money!
It seems like more and more people are stressed out about many things. Stressed out by working harder to pay bills; stressed out by spending too much time taking care of their lawns, their homes, and the stuff living in their homes.
Many people are downsizing to alleviate the stress that comes from the time and financial demands that stem from too much home and stuff.
EVALUATE YOUR CIRCUMSTANCES
If “stressed out” describes you, start asking yourself why. What things can you control that may alleviate your stress? Your job? Your schedule? Your possessions? Your house responsibilities?
What would you like to be different in your family?
Do you want more time and money vs. more home and stuff?
What are your priorities?