Investing in a well selected family home with a long term view can be a great way to create wealth.
A Property Plan that factors in downsizing the home enables us to plan to access equity at this important time of life.
And let’s face it, the reality is that most people will need to downsize due to lifestyle, financial or health drivers.
The added advantage of a Property Plan that incorporates downsizing is that you have a plan for making the most of tax benefits from selling your home and potentially the extra incentives through the Super Boost Scheme if you are aged over 65.
Through wise decision making, some are able to set themselves up for a prosperous flexibility stage of life largely through the creation of significant wealth in the family home.
For downsizers, moving into an apartment may be an appealing idea due to the idea of lower maintenance requirements, easy access to a CBD or a village and the ability to travel knowing that your home is secure.
The big question before you make the leap into a downsizing apartment is ‘do you know if apartment living is for you’?
You’d want a clear answer prior to making this major decision and investment outlay.
If you find you do not enjoy the ‘apartment’ lifestyle, you will burn through a big hole in your pocket if you make the ‘buy before try’ mistake.
Your goal should be to make as few property decisions to achieve your ideal lifestyle through long term Property Planning!
David Johnston, Founder and Managing Director of Property Planning Australia, provides his insights in Paul Chai’s article “Secrets To Successfully Downsizing Your Home” for The Age.