Are you preparing to downsize? If so, your next step may seem clearcut. Sell the house you’re in now and buy yourself a condo. While this is one potential option (and for many people, it’s the right one), some downsizers are going in another direction. Instead of purchasing a new home, they’re opting for a rental until that meets all of their needs.
Could selling to rent be right for you? If you’re considering it, here are some things you should know…
Considerations if you’re thinking of renting
So, why would you want to rent instead of buying when you downsize? It turns out there are some significant advantages to forgoing homeownership.
First off, if the prospect of packing up and moving to a far away destination or taking a vacation around the world excites you, renting might be your best bet. Making these types of major life changes is much simpler when you’re not tied to the place you call home.
It’s also important to consider your finances. Will you be on a fixed income in the years ahead, or do you have the funds to comfortably buy a condo and live the lifestyle you’re accustomed to? If you decide to rent, you won’t have to come up with a down payment, worry about property taxes, or cover any pesky monthly maintenance fees.
Of course, there are also some risks associated with owning a home. These include (but aren’t limited to) worrying about market ups and downs, anxiety related to rising home insurance deductibles, and having to deal with maintenance issues. Renting takes some of these hazards out of the equation and lessens others.
Lastly, selling a home can be stressful, even if you’re working with a real estate team that’s equipped to make it as seamless as possible. While we believe downsizing (or rightsizing, as we call it) can feel great, you may not want to put another property on the market in the future.
Interested in learning more about rightsizing? Here are a few of our top resources on the subject.
- Downsizing Done Differently: Our Complete Guide to Rightsizing
- Downsizing Your Home: 5 Tips for a less Cluttered Life
- How to Help Your Parents Rightsize
Going the purpose-built route
If you’re thinking of renting, you may still be envisioning a condo. While there are some fantastic units on the rental market, you may want to consider options that are purpose-built.
There was a time when the word “apartment” brought to mind outdated buildings full of wear and tear. That’s no longer the case. In the GTA, we’ve seen a boom in recent upscale purpose-built rentals. These buildings often feature the modern architecture, high-quality living spaces, and convenient amenities we’re used to associating with condos.
Choosing a unit in a beautifully designed apartment building allows you to take advantage of the best of both worlds. You can enjoy the convenient lifestyle and superior craftsmanship of a high-end condo, along with the freedom and reduced financial risks offered by a purpose-built rental.
Of course, renting isn’t right for everyone. If you’re very financially secure, have the years ahead and the costs involved mapped out, and feel strongly about living in a place that doubles as a long-term investment, buying a smaller home may be the right decision.
We’ve helped many clients sell their homes to rightsize with ease. Learn more about how we do it here!
Making a rental your own
If you’ve owned your home for a long time, you’ve become accustomed to your possessions and the way they’re laid out. Even if you do some redecorating from time to time, there’s just something about a space that belongs to you that always feels like home.
If you start looking for a rental, you’ll find that there are two types of apartments: furnished and unfurnished. If you opt for the latter—which is a popular choice for those who have a creative streak and own a lot of home essentials—you’ll need to figure out how to set up your space.
The first thing to keep in mind when you’re rightsizing is, you’ll have to pare down on your belongings. We’ve written about decluttering in past posts, but there are other things many people going through this process think less about. Like whether they’re current furniture and decor will fit in their new homes, for one. That’s why measuring these items and the space you’re moving into.
In addition to size, there are a few other considerations when you’re shopping for new pieces. Be sure to budget thoroughly, and (when possible) try to focus on smaller pieces and those that have built-in storage.
You should also keep in mind that changing fixtures, finishes, and (in some cases) wall colours may not be possible in a rental. While most landlords keep things relatively neutral, you’ll likely still want to consider the colours and styles that will work best with existing design choices.
Lastly, and perhaps most importantly, have fun with it! Rightsizing provides an opportunity to completely refresh your surroundings. If it’s your thing, explore recent trends in home decor magazines, or do some shopping in local districts that are known for their furniture and decor.
Should you consider selling to rent?
Renting isn’t right for everyone, but it certainly has its advantages. If you’re considering taking this step but you’re not sure, you may benefit from talking to a skilled real estate professional.
Feel free to get in touch here to start a conversation about rightsizing. We’d be happy to answer your questions, explore your options with you, and help you determine which path is right for you!
