4 financial benefits of downsizing
Date Posted: November 4, 2020
Want to embrace new freedoms, on the road and in your bank account? Downsizing to a land lease community and a low-maintenance home could be the finance-savvy retirement solution you’ve been looking for!
If you’re wondering how your bank account (or travel fund!) will benefit from downsizing your home, let us enlighten you!
1. Free up equity
Perhaps the biggest way your bank account will benefit from downsizing to a more affordable home, is freeing up the equity that’s sitting in your current home. Your home is most likely your biggest asset; downsizing will help you liberate a significant amount of cash that’s tied up in your home.
2. Reduced living costs
Living in a smaller, newer and more efficient home within a secure community comes with a huge range of financial benefits. You’ll experience lower power bills because you won’t have to use as much energy to heat and cool your home, as well as lower household insurance costs because you live in a secure environment. Your brand-new home will also feature top of the range, energy efficient appliances that keep the bills low.
3. Save on repairs and maintenance
It goes without saying that your brand-new home will likely require less maintenance and upkeep than your current home. There’ll be no need to spend your valuable time and hard-earned cash on repairs, since your home will be brand spanking new!
Most land lease communities also employ landscapers to tend to all homeowners’ front gardens, so you won’t need to fork out for your garden’s maintenance – unless you’re a passionate green thumb!
4. Home and community savings
While every land lease community is different, you’ll likely experience the following savings by moving to a downsizing community:
- No stamp duty on your new home
- No council rates
- Some land lease communities partner with electricity and insurance providers to offer cost-effective solutions, meaning you get to keep more money in your pocket (or in the travel fund jar!)
If you’re still curious as to how downsizing to a land lease community can help you unlock the lifestyle of your dreams, read our blog: Discover Downsizing to Unlock Adventure.