An Empty Nester's Struggles. And Opportunities.
Regrets… As a potential seller you’ve had a few, especially not taking advantage of the frenzied real estate market where everything sold at a bidding war. Similarly, as a potential buyer you're kicking yourself for the missed opportunity of 3% mortgage interest rates. But fear not. All is not lost. Opportunities remain to take advantage of current market conditions. Here are some ideas to keep in mind:
As interest rates have increased, prices have decreased. But only slightly in NYC. If you're thinking of selling in NYC and buying where prices have tanked (CA, Las Vegas, Phoenix, Denver, Austin) - Ca-Ching!!
If you're a cash buyer, even better!
You don't necessarily NEED to sell. So you can be patient and wait to get your price. Similarly, you don't NEED to buy. Renting (short term) might be a good option until you can find your next forever home.
If financing your purchase is necessary, consider the adage: “date the rate and marry the property.” You can always refinance when the rates come back down. And stop whining! Rates are historically low. Many of us purchased our first homes when interest rates were 15% - 18%. Today's 7% rates are a relative bargain.
Continue to weigh the financial and lifestyle benefits of downsizing, especially into an amenity rich condo, coop or HOA. Cash in the bank. Less physical property to care for. Lower utility bills. Manageable tax bills. Shovel snow and cut the grass no more. Keeping a roofer on speed dial? No thanks! Easier access to all of the leisure activities you love - theater, museums, pickle ball, golf. Living closer to family and friends - perhaps even within walking distance. Dare I say it?… Dump the car and all the headaches of maintenance, gas, insurance, parking and traffic. If you are considering downsizing and selling the “empty nest” you will need to weigh all the factors. Check-in with your accountant, financial advisor, real estate broker, family members and other trusted advisors to see if a move makes sense. Through all of the discussions consider also how downsizing may benefit your mental health, your social life, your “joie de vivre”. Living within your means is always important, especially at this time in your life. But life is short. Opening your mind to new experiences and adventures can be exhilarating.
As you consider your options, and plan the charted course and each careful step along the byway, reach out to me for guidance through the decision making and the process. My wife and I have been through it, and I have helped many others. Take advantage of my experience and expertise, market knowledge, savvy negotiation skills, integrity and ethical professionalism.
As Frank Sinatra sang, do what you have to do. Eat it up and spit it out. Face it all and stand tall. And do it your way. With our guidance and help, of course.