Of all real estate transactions, downsizing is among the most unique. Unlike most first-time buyers, you have the advantage of equity behind you, which means you have more buying power and a multitude of options before you. 

You also have real-world experience with buying and perhaps even selling a home. As they say, this is not your first rodeo! You likely have a vision for your lifestyle and the means to make it happen. 

However, it may have been several years since you’ve made a move or thought about a change, and the real estate market may be different than you expected. Before beginning the downsizing process, brushing up on a little market knowledge can help you enjoy a seamless transition while making the most of your experience. 

Real Estate Is Always Evolving

It’s amazing how the real estate market always manages to find itself in the news headlines. Even the stock market and other world events don’t get the same kind of attention. 

It seems that everyone is interested in real estate, whether they own a house or not. And since the market is always changing, there is always something to report. Here are a few of the events that have made the news over the last couple of years.

When inflation begins driving up the cost of living, buyers often think twice before making monumental decisions such as buying a house. When that happens, the domino effect begins. Housing sales slow down, and many homeowners must reevaluate their entire selling strategy, especially their prices.

During times of low interest rates and a booming economy, buyers jump back into the market. Competition for houses increases, and prices begin to trend upward once again. 

When you hear the terms seller’s market, buyer’s market, or balanced market, it is often the result of these fast-changing conditions. Whatever is going on, education and being ready to pivot your strategy can help you achieve the results you’re looking for. 

---

Do you want to know more about selling a family home in Ottawa? The posts below are a great place to begin your research:

• Why Are Family Homes in Ottawa in High Demand?
• You Only Have One Chance to Make a First Impression
• How to Sell Your Ottawa Home When You Have Kids or Pets

---

Some Things Never Change

One thing about the real estate market that you can be sure of is that there will always be people looking to sell and others looking to buy. With the growing population and newcomers to Canada, the demand for housing will only increase as time goes by. 

Though prices can fluctuate and even decrease temporarily, they have risen consistently over the past 20 years. That means if you bought your home even just a few years ago, you have likely seen your equity grow; in come cases quite significantly! If you’ve owned a property for a decade or more, you may be looking to fund your dream retirement from some of those equity gains.

By selling your house now, you might be able to purchase a smaller home outright, perhaps even with funds left over. Here is an example of what this might look like. 

Imagine that you purchased a detached family home in Ottawa in January 2018 when the average selling price was $427,487. Five years later, the average price of a detached property had increased to $676,272, according to the Ottawa Real Estate Board (OREB).

By these calculations, your equity would have grown $248,785 over the last five years. Of course, the numbers will vary, but one thing will always remain constant. The longer you have owned your home, the more valuable it becomes, and this increased equity can go a long way toward funding your retirement.

Should You Wait for a Better Time?

The best time to downsize or make any significant change in your life is when the time is right for you. If you try to base your decision on the latest market trends, you could be in for some unnecessary stress. The short-term fluctuations are almost impossible to predict. If prices are down temporarily, even the most well-informed expert can’t say when they will bottom out before beginning to rise again. 

However, you can rest assured that you will achieve a successful transition by following one simple guideline: sell and buy in the same market. 

Imagine that prices are down, but you are ready to sell your home and downsize to another. The good news is that you don’t have to wait, because the house you plan to buy will also be priced lower. Understanding these long-term real estate trends frees you from worrying about missed opportunities and allows you to move forward on your own terms.

Why Downsize in Ottawa?

With a strong economy, modern infrastructure, and a fascinating history, it’s harder to find a place more convenient and enjoyable for downsizers than Ottawa. Your opportunities for recreation are practically unlimited, from dining at a few of the world-class restaurants in Little Italy to browsing the unique shops of Westboro and Wellington Village.

As part of the protected Greenbelt, Ottawa is also a natural paradise, where you’ll find happy nature-buffs exploring and revelling in the wondrous beauty of the TransCanada Trail, Prince of Wales Falls, or the Ottawa River Pathway. These are just a few of Ottawa’s breathtaking green spaces you can visit whenever you want a peaceful and scenic escape.  

Whatever retirement lifestyle you’re dreaming of, the vibrant City of Ottawa can provide, with high quality healthcare and outstanding amenities. You will always have access to the support systems and social opportunities you need to thrive and enjoy every minute of your life.

Ottawa is also full of the beauty of all four seasons, from the glistening, crisp winters to the warm, sunny days of summer. If you’re looking for a place where you can experience the best that Canadian life has to offer, Ottawa truly has it all. 

---

Want to get to know Ottawa better? A few of our neighbourhood posts will do the trick:

• Neighbourhood Spotlight: Little Italy
• The Glebe – Ottawa’s Historic On-Foot Neighbourhood
• What are the Best Ottawa Neighbourhoods for Retirees?

---

Your House, Your Future

Owning real estate in Ottawa can open many doors for your future. Selling your larger home to move somewhere smaller or with less maintenance may be the most obvious path. However, your options are almost endless.

1. If you’d prefer to keep the home in the family, you can still use the equity you’ve built to finance your new purchase. Now, both properties grow in value, which promotes generational wealth and helps your younger relatives achieve more stability.
2. You may decide to age in place by adding a secondary suite where a family member can stay with you. This means you no longer have to say “goodbye” to the home you’ve come to love over the years while still enjoying a more carefree life with less maintenance.
3. You can sell your home to fund your other life goals. Have you always wanted to travel but didn’t have the time or money? The proceeds from your sale can make it possible to become a snowbird or to relocate somewhere on the other side of the globe. Alternatively, now may also be your chance to start that business you’ve always dreamed of.

Every downsizer is different, and no two paths are ever the same. Whether you decide to stay in your home or leave for a new adventure, it’s always good to know what possibilities await you.

---

Owning real estate is one way to help your entire family be more financially secure. Here are just a few ideas to consider:

• Should I Gift My Child a Down Payment For Their Home?
• Should I Buy an Investment Property Now for My Kids in the Future?
• Is Now a Good Time to Invest in Ottawa Real Estate?

---

Decluttering and Simplifying Your Life

Often, the most challenging part of the downsizing process is just a matter of making the decision. Once that’s over and done with, the rest becomes a matter of planning and execution. 

Fortunately, you don’t have to handle any of these logistical processes alone. Even if your family and friends cannot lend a hand, your local real estate team will have a network of professionals who can help you from start to finish.

The first step is typically to clean and declutter your home thoroughly. We all tend to collect many belongings and memorabilia throughout the years. Before you move, you’ll want to take some time to decide what you will keep and what you’ll need to find a new home for. The following questionnaire will help you stay objective and on track:

• Is the item useful and in good condition?
• Can it be replaced easily and inexpensively?
• Will I really miss this if I don’t keep it?
• Have I used this item in the last 6 months?
• Does someone else have a greater need for this than I do?

Your honest answers to these questions will help you decide whether something has earned a place in your new home. For those that don’t make the cut, the next decision is whether to discard, donate, or sell them. A few labelled boxes will help you remain organized throughout this process. Now is also an excellent time to get your family and friends involved.

If you’re having difficulty deciding, it may help to have one box for those items you will want to think about later. Decluttering can be an emotional process. However, once you’re done, you’ll be pleasantly surprised at how light and spacious your home feels. 

Do you need more tips to make decluttering easier and less stressful? You may enjoy What Is the Art of Letting Go? How to Declutter Your Home At Last.

Maximizing Your Sale in Today’s Market

The difference decluttering makes in your home can be stunning. However, we don’t stop there if we want to maximize the value of your sale in today’s market. A comprehensive strategy involves:

• Preparing the home in a way that buyers will love.
• Finding a compelling but competitive price point.
• Promoting your listing extensively.

A local Realtor® can help you achieve the best results from your sale by recommending the upgrades that will have the most impact while saving time and money on renovations that are best left to the buyer. These updates may vary from one house to the next but will often include minor projects like:

• A thorough cleanup of all outdoor living spaces. The front yard is the first thing potential buyers will see, and we want to make sure it makes an unforgettable first impression no matter what season you are selling in.
• A fresh coat of paint throughout, or at least in the kitchen, living room, bathrooms, and bedrooms. This modernizes your home and can even make it feel more spacious.
• Minor kitchen and bathroom updates, such as new hardware, updated fixtures, and sink faucets. 

Your Limitless Future 

Downsizing is an emotional time for many homeowners. The longer you’ve lived in the home, the harder it can be to let go. However, with the right support and guidance along the way, this chapter in your life can feel like the chance for a fresh new beginning.

Whatever stage you are at in the downsizing process, our experts are happy to help. Reach out today to 613.829.7484 or mail@chellteam.com with any questions or to take the next step.