Could Downsizing be the Right Fit for You? Benefits and Considerations
Downsizing is often referred to in conversations about senior living, as it’s such an easy way to ensure safety and comfort for older adults. However, it’s also a great way to save money and simplify your lifestyle, no matter your age. If you’ve been thinking about selling your home for something smaller, or if you’re starting a business and need something closer to work, there’s no time like the present.
Start with a well-thought-out plan to reduce the stress that comes with moving, and then look for the perfect property in your preferred location. In the meantime, read on for tips from Your Financial Freedom Journey on how to get started with a downsize and why it’s potentially a great choice for you and your family.
Downsizing comes with a lot of advantages, from saving money to moving closer to your job or new business. Of course, it also allows you more time to focus on other things, since you won’t have to worry about taking care of upkeep and maintenance the way you do with a house. Renting means a smaller space to clean, and it also provides more social opportunities for singles or retirees. Some apartments even come with a paid utility or two, meaning you’ll have less to keep up with each month.
Simplify Your Life
Renting typically means moving to a smaller space than you’d have in a home, which means you’ll need to reconsider the amount of furniture and belongings you have. Consider purging items you won’t have room for or won’t need. Many renters find that by downsizing and reducing clutter, they also get a nice mental health boost. And by reducing clutter before you move, you set the stage for a more positive environment in your new space.
If you find that you need more time to go through your belongings, rent a nearby storage unit. You can find storage options in L.A. starting at around $120 per month for a 5×5 unit. Larger units can go up to $300, so reduce as much as possible before committing to a larger unit.
Whether you’re searching for an apartment, townhouse, or rental home, the neighborhood should play a big role in your decision. One of the great things about renting is that you have lots of options. Do some research online to find out more about the areas you’re interested in, such as the crime rate and average cost of rent. You’ll likely have plenty to choose from. Each neighborhood has different amenities and benefits, so it’s important to narrow down your choices by location, budget, etc.
Look at schools, proximity to shopping and work, and the overall community noise level. For instance, you might tour the apartment during the day when the area is quiet, only to find out later that there’s a cafe down the street that plays live music every evening.
Keep Your Budget in Mind
The location you choose can play a role in how much you end up paying, but there are other financial factors to weigh as well. Keep a close eye on your budget during the search. Downsizing can potentially save you quite a bit of money. Many people find that their rent is a fraction of their previous mortgage, allowing them to save quite a bit each month.
However, it’s crucial to understand what your responsibilities will be when you’re ready to rent and be prepared for them. You’ll likely need to pay the first month’s rent, a security deposit, a pet deposit if you have animals, and an application fee that covers your background check and/or credit check. You might also want to consider the benefits of renter’s insurance.
Downsizing comes with many advantages, and if you’re well-prepared for the move, you can prevent stress and ensure it’s a smooth process that fits your budget. Do your research ahead of time and create a list of questions you have for the landlord or property owners so nothing gets overlooked. And if you’re downsizing to get into a better financial situation, visit Your Financial Freedom Journey for tips on how to find your financial sweet spot.
Photo via: Pexels
Guest Post by Christopher Haymon of AdultingDigest.com
Your Financial Freedom Journey (YourFFJ.com) provides tools to create more financial freedom, time freedom, and peace of mind in your life.
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