As the baby boom generation become empty nesters, the urge to downsize strikes. Before making the assumption that downsizing will free up lots of cash or save a lot of money, examine the experience of others.
The McMansion generation is in downsizing mode.
Millions of Americans age 50 and older are looking around their spacious homes and are deciding they don’t need all that room anymore. The kids are gone, maybe a spouse, too. And they could really use the money from a sale to bulk up their retirement funds.
But downsizing isn’t always simple, painless—or even all that beneficial financially. With the real-estate market still fragile, many baby boomers are getting a lot less than they expected for the old homestead. All too often, they have little cash left over after buying a new place, and their monthly expenses don’t fall as much as they thought—or may even rise instead.
- SELLING IN A FRAGILE MARKET
- DEALING WITH EMOTIONAL TANGLES
- BIG SAVINGS? MAYBE NOT
- SQUEEZING INTO TIGHT QUARTERS
Read the whole thing.
Tags: Real Estate