Big houses cost a lot. You and I both know that. When you downsize your house, there are a number of very tangible benefits and a number of “invisible” benefits that come with downsizing as well. Let’s get those benefits.
- You Get To Sell Your Old Junk And Make A Lot Of Money
This one is pretty self-explanatory. With a big house you, almost instinctively, buy a lot more stuff than you actually need and this means that your wallet is a little bit smaller and your house has a lot less space. But, when you’re downsizing, you inevitably realize that there is simply not enough space for all of that stuff. The other thing that you inevitably realize is that most of your possessions are actually “junk”. Stuff that you don’t need, stuff that you never needed, and stuff that you never actually use. Some of this junk is actually worth quite a bit of money, so when you sell it – which you should do – you’ll add a couple of zeros to your account. Extra cash never hurt anyone, and it’s definitely not going to hurt you.
- A Better Lifestyle
Minimalism is all the rage these days. Everyone wants to be a minimalist, and it’s easy to see why. When your lifestyle is a bit simpler and a lot less convoluted and overstuffed, you find that you’re generally happier and more content. Not to mention the fact that you have more time – no need to spend it organizing an endless set of drawers filled with junk – and you can spend more time doing the things that you want to do.
- Reduced Fees And Bills
With a smaller home and a smaller lifestyle, you won’t need to pay as much for electricity and water and heating and other utility and maintenance fees that inevitably come up when you own a big house. This isn’t even getting into things like insurance and whatnot, which will also make your overall costs considerably less and that means you will have more money in the bank to spend on things that you actually care about. Things like vacations and experiences.
- You Can Take On Your Debt
This is a self-explanatory one. Debt is a burden, and I don’t think anyone is going to disagree with that. Big houses lead to bigger debts and higher costs. All of this stuff adds up, and many people can’t actually afford all of the hidden and not-so-hidden costs. So, it adds up and then interest comes in. So, while paying the debt, it continues to get bigger. Just an endless cycle of constant debt. When you downsize your home, you’ll earn a lot of money and you can use this to attack your debt head-on.
- You Can Put That Money Towards A Retirement Fund And Other Investments
You’ll be earning a lot of money, and with that money, you can put it towards things like a retirement fund and investments that will allow you to earn even more money over time. Index Funds are a good investment. As are things like Bitcoin – which we’re hearing a lot about in the news – and other more “fringe” investments. With this extra money, you can actually earn even more money and secure multiple income streams.