Looking for Selling your Fairfield, bridgeport CT, New haven CT, West haven Home For Retirement ? Retirement used to be a situation where you give up your dreams and live a limited life. It doesn’t have to be the case anymore. Nowadays, you can make your retirement a dream. It can be full of excitement, friendships, and new experiences. Most people have a goal to travel more and see friends more often.
The accomplishment of this goal often requires that you move your Fairfield, bridgeport CT, New haven CT, West haven home. We see many people change their residence before or after retirement. So, the question arises, whether you should sell your Fairfield, bridgeport CT, New haven CT, West haven home when you retire or not. There are pros and cons of selling or keeping a property. On one side, you have lifestyle concerns, and on the other side, there are financial issues. Here are a few tips to help you make a better decision.
Selling Fairfield, bridgeport CT, New haven CT, West haven Home for Retirement
When retiring, you want a home that gives the freedom to enjoy your dreams and supports your lifestyle. However, it is equally important to consider the financial side of the coin as well.
Most people approaching retirement don’t have significant savings to finance their retirement years. Their home is probably the most significant asset that they can use to pay for the retirement. In that case, selling the house can free up a sum of money that if invested somewhere else can provide a better ROI and an improved lifestyle.
Are You in Need of Money?
The equity in your house can provide the much-needed income. As per the Merrill Lynch Study (2015), people aged 65 have approximately a Fairfield, bridgeport CT, New haven CT, West haven home equity of $200,000. However, most people have a retirement account of half that amount. That means, during the retirement, most people will need the equity in their house which can be used by selling the property or taking an equity line of credit or by using a reverse mortgage.
Barriers to Selling the Fairfield, bridgeport CT, New haven CT, West haven Home for Retirement
Capitals Gains Tax
Avoiding the capital gains tax is a valid reason for not selling the property. However, you don’t pay this tax if you sell your primary residence and the value falls below the $500,000 threshold (if you’re married, for single people the limit is $250,000).Learn how to receive tax benefits when selling a property in Connecticut.
Cost of Selling the Property
Selling the house doesn’t have to be a hassle. However, there are various moving parts to be managed. From repairing the property to hiring a realtor, cleaning the home to hiring a photographer; there are multiple things that you must do before completing a traditional sale of your house. Of course, doing this also involves commissions, closing costs, repairs and other expenses. If you want to sell your house at a Fair Price without the hassle, please contact a reputable cash buying firm in your area. The cash buyer will purchase your Fairfield, bridgeport CT, New haven CT, West haven home as-is for a cash price. You don’t even have to pay the closing costs in this case.
Freedom is the Option
After living in the Fairfield, bridgeport CT, New haven CT, West haven home for years, you feel an emotional attachment to the place. The place might be cluttered, but it is your home. You loved that place. You might not want to let go of the memories, your possessions, and your home.
You don’t have to leave this place.
However, amazing things happen when you move out of your comfort zone. Remember the times when you embraced a problematic situation, and it turned your life around. Success lies outside of your comfort zone. You need to explore your dreams.
Retirement is a time to cherish your relationships, goals, and dreams. If you believe that the home is blocking the freedom, then it might be best to let go of the property. You can also choose to rent the property. Don’t leave the house vacant as it’ll create trouble in the future.
Selling home for retirement: It Really Isn’t Downsizing
You might have a large home that you want to sell. However, we have seen that most people aren’t actually downsizing their homes. They want better amenities. Moving from the suburb to the heart of the city is not going to be inexpensive. You have to evaluate your options here. Your future home might be smaller but will it be affordable?
Please consult a financial advisor and consider all of your options before deciding to sell the property.
What is a Reverse Mortgage?
A reverse mortgage, similar to a HELOC is also available. You can tap into the equity of your property without having to sell it. A reverse mortgage is usually due when you move out, sell the property or when the beneficiaries inherit the property after the death. The banks have defined their criteria for approving a reverse mortgage. Please consult a mortgage expert to educate yourself regarding the mortgage products and home equity loans. Whatever choice you make, only borrow the amount that you can afford to pay back.
Do You Need Help Selling Your Property?
Do you need advice regarding the process? CT House Buy LLC is a real estate solutions firm in Connecticut. We’ll be happy to study your situation to guide you about your options. Please contact us here for a free consultation.
