For many seniors there comes a time when they think about moving from their current home. It may be because the home has become too big for them due to the children moving out & now they’ve found themselves as ‘Empty Nesters’. Or perhaps the home is just too much to maintain. A lot of seniors find themselves in a different income bracket as they retire.

If income is an issue because your expenses continue to increase but your income does not (e.g. fixed income) then it is important to consider the costs of relocating or purchasing another home. What will the mortgage be, what about the cost of property taxes, Homeowners dues if you move into a ‘Retirement’ community? Can we afford the utilities? These are important questions you need to calculate into your budget if you’re thinking of sizing down. Many Townhomes and Condos have Homeowners dues and don’t cover the price of utilities. Assisted Living facilities can also be costly, depending on the location and amenities. It’s important to do your homework and confirm all the costs.

Another issue to consider is do you want to be near family members? Perhaps your situation will require the help of a friend or relative to help you get to appointments and the grocery store. Maybe you just want to be closer to your children so that you can spend more time with them and the grandchildren.

Many seniors don’t want the burden and headaches that come with maintaining and the upkeep of a home any longer. They want something that will be suitable to their lifestyle yet requires little or no maintenance. Growing physical limitations could play a part as well. Is the home you live in now still compatible with your physical condition? (is it too big or have stairs that are harder to climb?)

If you’re considering selling your home and using its ‘equity’ to finance your golden years, be sure to consult a tax professional beforehand. They can advise you of any pros and cons, tax benefits and liabilities.

Regardless of the reason be sure to look at all options before deciding. Talk to your children, friends and even your accountant if you need help with the decision. This could be the last move you make so you want to be sure it’s the right one.