Assisted living should be considered a big adventure during our golden years, as there are extra support systems and new opportunities to meet different people. This is especially true for those who choose to make Vista Living their new home. Of course, that leaves us with the conundrum of what to do with our own properties.
First, you have the option of renting out your home. By doing so, you give yourself a grace period to decide if you want to sell or have family take it over. Better still, you’ll earn a monthly passive income to add to your nest egg, help cover expenses, or help fund activities. In short: If you don’t have pressing financial needs, this is often a good choice.
Unfortunately, this plan does have a few drawbacks. For instance, you’ll have to deal with any tenant issues that arise — at any hour of the day. Of course, you could hire a property manager to deal with the details, but that can quickly eat into your earnings. Often, management companies will charge up to 10 percent of your total profit, which doesn’t take into account the amount you have to put aside to cover potential repairs.
The biggest benefit of selling your house is that you’ll get an immediate cash flow to bump up your savings, though it’s important to keep an eye on the housing market so you don’t set unrealistic expectations. This can be important, particularly given how assisted living can cost thousands of dollars a month. By selling your property, you’ll have funds to support those expenses, and enough set aside for emergencies, fun, or an exciting investment.
The disadvantages of selling your home can differ by circumstance. For instance, the housing market could slow down or find itself in another serious crisis. In that context, it’s natural to have worries, but talking to a real estate agent can help guide your decision. Beyond financial considerations, selling may feel like an emotionally difficult and painful decision to commit to. So, even if it makes financial sense, it’s a process that deserves reflection.
Prep Your Property
Getting the best price will mean creating a game plan and investing a little upfront, especially in areas like the bathroom and kitchen. Yet, before you repaint or declutter your house, you should caulk and glaze your tub and put in a new sink. Moreover, if your carpeting needs work, have them cleaned or replaced. Thankfully, these updates are affordable and can go a long way to make things look nice. However, don’t ignore the importance of the exterior since curb appeal can grab a buyer’s eye.
Family Care: Pros
This is a good choice if your family is nearby, and they also have the financial security to afford the costs that come with taking care of a house. Indeed, this can be a wise move if you have a grandchild old enough to own a house but who is struggling to make a down payment. While they gain a home and build up their savings, you gain someone who can care for your property.
Family Care: Cons
Of course, if your family isn’t close, or if they can’t afford to look after a second home, this can be challenging. After all, the average annual cost of home insurance alone is more than $1,000. Given that, there may be no alternative but to sell your property to move forward.
All in all, you have to decide which road to take as a homeowner. Whether you need the extra financial boost from a sale or want your family to care for the home you love, weigh your choices carefully. Most importantly, let others assist you in making the right decision and planning your move.
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