If you’re spending time with family over the holidays, you may be discussing plans for the new year that include retirement. If so. one of your goals could be selling your house and finding a home that more closely fits your needs.
Fortunately, you may be in a better position to make a move than you realize. Here are a few things to think about when making your decision.
Consider How Long You’ve Been in Your Home
From 1985 to 2008, the average length of time homeowners typically stayed in their homes was only six years. But according to the National Association of Realtors (NAR), that number is rising today, meaning many homeowners are living in their houses even longer (see graph below):
When you live in a home for a significant period of time, it’s natural for you to experience a number of changes in your life while you’re in that house. Children grow up and move out. You may develop physical issues that make going up to the second floor bedroom challenging. As these life changes happen, your needs do, too. If your current home no longer meets them, you may have better options waiting for you.
Consider the Equity You’ve Gained
Additionally, if you’ve been in your home for more than a few years and have been paying your mortgage regularly, you’ve likely built up significant equity that can fuel your next move. That’s because the longer you’ve been in your home, the more likely it’s grown in value due to home price appreciation. Data from the Federal Housing Finance Agency (FHFA) illustrates that point (see graph below):
While home price growth varies by state and local area, the national average shows the typical homeowner who’s been in their house for five years saw it increase in value by over 50%. And the average homeowner who’s owned their home for 30 years saw it almost triple in value over that time.
Consider Your Retirement Goals
Whether you’re looking to downsize, relocate to that “someday” destination, or move closer to loved ones, your equity can help you achieve your homeownership goals. NAR shares that for recent home sellers, the primary reason to move was to be closer to loved ones. Retirement also played a large role for those moving greater distances.
If retirement is in your plans for 2023, we can help you review your options. If you’re looking to relocate, we have contacts literally all over the US and Canada and as far away as Israel, because of our involvement with the Tom Ferry organization — our industry’s leading education and training group.
We’re grateful for the number of clients/friends, who we worked with in 2022. Because of our successful partnerships, Mari Sennott Plus ends the year as one of the leading realtors in Today Real Estate and throughout Cape Cod.
We’re looking forward to assisting more individuals, couples, and families attain their homeownership goals in 2023. Let’s start by connecting at 508-360-5664 or firstname.lastname@example.org. Talk soon…
Happy New Year…
Mari and Hank