Answers to Five Common Questions About Downsizing and Housing Costs

Building your best life during retirement comes with many decisions, the most significant of which is whether to downsize your home. There’s lots to consider before you make this important move—including finances, lifestyle changes and emotional attachments.

To help you sort it all out, we’ve put together answers to five questions we hear most often about downsizing.

1. How Do I Handle the Emotional Challenges of Downsizing?
   • When you start thinking about downsizing, it’s normal to have mixed emotions. On one hand, every room in your home holds memories of family dinners, holiday celebrations and special moments. At the same time, the idea of fewer responsibilities, less upkeep and a simpler lifestyle can feel surprisingly liberating. Here are some tips to help you celebrate both the life you’ve built and the beginning of your next chapter.
     • Declutter with purpose. Instead of focusing on what you’re leaving behind, reframe it as making space for the adventures ahead.
     • Honor memories. Take photos of treasured items before letting them go, so you can hold onto the warm feelings.
     • Invite support. Friends, family or even professional organizers can help you stay focused while making the experience more meaningful.
     • Find joy. With fewer chores and less clutter, you create space for what matters most: family, friends and new experiences.
2. It All Seems So Overwhelming. Where Do I Begin?
   • Downsizing is a journey, and starting the process well in advance of a planned move gives you time to sort through your belongings without feeling rushed or stressed. This extra time also gives you the chance to make thoughtful decisions about each item.
   • Start by making a list of what you want to keep, donate or pass along to family. Breaking the project into smaller steps makes the process more manageable. It also helps to know the exact measurements of the rooms in your new home or apartment—including closet space and the number of kitchen cabinets. That way, it’s easier to decide what to bring with you and what you can donate, sell or discard. Some people also find it helpful to rent a dumpster, which can be handy for disposing of old carpets, extra tiles and broken items.
3. Which Is Smartest: Owning, Renting or Moving to a Senior Living Community?
   • Many older adults enjoy the security that comes with homeownership—and a house can be a valuable asset during a booming real estate market. In less certain markets, however, homeownership can be risky. Owning a home also comes with lots of hidden costs such as yardwork, repairs and appliance maintenance—not to mention property taxes, utilities and homeowner’s insurance.
   • Some financial experts suggest that renting is preferable because it gives you more disposable income so you can enjoy a higher quality of life. However, the lack of long-term security can be a significant potential downside to renting.
   • When you factor all of that in, moving to a senior living community may be the best long-term value. For starters, selling your home often covers the one-time entrance fee with funds to spare—and a significant portion of the fee may even be tax deductible. And it’s amazing what you get: access to fitness centers, multiple dining venues and live entertainment, all set amidst beautifully kept grounds.
4. What’s the Best Way to Plan for Future Care Needs?
   • It’s not easy to think about what might happen if your health needs change, but working through these decisions now can minimize stress and worry down the road. One option is “aging in place” at home and purchasing long-term care insurance to cover life’s “what ifs.” There are also at-home programs that combine the features of senior living communities, long-term care insurance and care management into a single convenient package.
   • A growing number of seniors are deciding that a Continuing Care Retirement Community (CCRC) offers the best of all possible worlds. How? By providing the flexibility to enjoy life the way they choose while having a support structure in place in case their needs change.
5. How Do I Estimate Senior Living Housing Costs?
   • For starters, the type of residence you choose—such as a two-bedroom cottage or a one-bedroom studio apartment—will impact your upfront costs. Also, many communities bundle fees for things like housing, dining, social activities and amenities such as fitness centers.  
   • As you tour different communities, be sure to ask for a detailed breakdown of what’s included in the base rate versus optional services. You may also want to consult websites like A Place for Mom or myLifeSite, which offer worksheets and calculators that can help you weigh your options.

The friendly, knowledgeable sales counselors at Springmoor have helped many seniors evaluate their retirement options, and they’ll be pleased to answer any questions you may have about downsizing. Call us at 919-651-4844.