Dear David: With the real estate market at crazy as it is, could we sell our home now and advance our retirement by a few years? – READY TO RELAX
DEAR READY: I get this question a lot these days and find skyrocketing real estate values in our area are allowing some homeowners to embrace their retirement plans earlier than expected.
I meet many people that have their retirement planned out methodically, sometimes down to the day. They know precisely how long they need to keep working, and at which point they can claim their “golden ticket” with enough pension and savings to carry them through.
Sometimes the sale of their home factors into this strategy. By cashing out their largest asset, some homeowners are looking for the flexibility of a smaller house with fewer complications and the freedom to enjoy their retirement years to the fullest.
This may mean trading in their 3,000 square foot suburban home for a 1,200 square foot condo close to the grandkids. In an ideal world, this could free up cash to enjoy summers at the cottage, winters in Scottsdale, or a long-awaited cycling trip through Europe.
If you’re thinking of selling your home to advance your retirement, figuring out where you want to go is the place to start. Most homeowners never would have dreamed that the value of their nest egg could double in three or four years. But as property values grow, so does the challenge of mapping out the future.
This is a good time to get expert advice. Before moving ahead, you need to put a value on your home and price out your next steps. If you’re heading to an area where property values are blowing up as fast as they are here, you may not be able to leave your job just yet. But there are several ways to advance your retirement timetable, so it’s a conversation worth having. Do some research ahead of time, and you could be booking that golf club membership earlier than expected.
Retirement options are endless, but you only get one chance to enjoy them. Most of us never got a “Freedom 55” plan, so it’s worth seeing whether your real estate assets can provide that for you.
Put some time aside to map out your retirement dreams. In one of my favourite roundtable segments, billionaire investor Warren Buffett quips that while he can buy basically anything, he can’t buy more time. If selling your home in this crazy market lets you reach your retirement goals sooner, it may be time to hop aboard that dream train. #Advice #AskDavid #TheNegotiator
David is a top-selling Broker in Kitchener-Waterloo Region. He works personally with you when selling or buying your home. Call or text today for your free home evaluation! 519-577-1212.