Living in a big city means that when it comes time to downsize your home, you will have a lot of options open to you. Toronto is no exception to this rule, and there are a number of downsizing options that you can consider when you are ready to move to a smaller residence. To help make your decision easier, it is important to consider the reasons why you are downsizing in the first place.
Traditionally, downsizing is an area in which the most active participants are those who no longer need all the space their current home provides. Recently, retirees have been joined in the downsizing market by more and more divorcees. Here are some of the reasons why people in this situation choose to downsize.
Financial concerns. Downsizing will mean a big chunk of money in the pocket of the person who is moving from a larger home to a smaller one, whether they own the property they are selling or are still making mortgage payments. A smaller piece of property, or no property at all, will mean much less in property taxes, and of course paying the mortgage off outright with the proceeds of your current home's sale will eliminate the interest expense.
Upkeep concerns. Another reason why you might choose to downsize is the upkeep of your larger house. This is a very typical concern for retirees; as they get older, they are not able to mow the lawns and make the repairs necessary in order to keep the house looking good. The result could be a loss of equity; thus a piece of property with lower maintenance issues can be ideal.
Types of downsized properties
The type of property you choose to downsize to will depend on the reasons for downsizing in the first place. Obviously, you will not want to move to a smaller place in Rosedale if financial considerations are your main concern. Prices are determined not only by location, but also by housing type. Toronto has many different types of property available to those wishing to downsize.
Smaller houses. This is the most obvious answer for those wishing to downsize and still retain control over what they do to their house. If your dream is to retire to a smaller house and fix it up according to how you want it, then this is probably the best option.
Condominiums. Buying a condo is a popular downsizing step, but with it comes giving up a certain degree of control over your life. Condo activity is regulated by the membership board, and you will always have to pay those membership fees, which will likely only get higher over time. On the other hand, condos are often within easy reach of restaurants, shopping centres, and other amenities. They will also often include security measures as well as a centre for leisure activities.
Townhouses. One healthy compromise in terms of investment potential and minimal work is a townhouse. These units are located side by side in a complex. They do not have the membership fees associated with condominiums, and they do not require as much work as a large home.
There are many good reasons for downsizing a home, and in Toronto the process is made easy. Whatever your reasons or your hopes when it comes to a smaller home, there is guaranteed to be a piece of property in the city that meets your expectations.
