Downsizing prior to retirement....Shack ridicule/input?

Posted on: July 26, 2017 at 08:43:43 CT

We're empty-nesters now. Son graduated college (finally), got a real job (finally) and it's just the wife and I bouncing around in our palatial suburban ranch in the suburbs :-).

SO....here are the details, I'm looking for Shack input, satire, mocking or any other response which might prove useful, entertaining or provocative.

We're 51 and 48. We didn't formally plan to downsize at right this instant, but I get itchy about stuff and then do things very quickly once decided upon a course of action.

Real estate agent thinks we can get 365K - 375K. We owe about 177K. We had the house built in 2003, only owners, and we've improved it and maintained it. The long-term plan is to retire somewhere modestly in Florida in about 10-12 years; the investment side of our equation says that's workable.

So - the idea now is to sell the current home, buy something local but Villa/townhouse/condo in the 180K - 200K range. After real estate fees (we got a sweet referral deal at 5%), net enough from the equity to put down 120-140K, leave a modest mortgage to pay.

This would reduce our operating expenses - mortgage, taxes, insurance and all costs of a home this size - utilities, irrigation, yard service, upkeep. Also we will be doing the inevitable PURGE now rather than 10 years from now.

We already have an annual $450ish HoA fee, and we'll likely have a new one in the $150/mo range.

What say the shack about downsizing 10-12 years before the real retirement to a smaller footprint out of state?