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But rising housing costs, emotional attachments and unexpected expenses can make downsizing more difficult and expensive than expected.
Housing is likely your largest expense if youre a retired boomer on a fixed income, Adams added.
Smaller starter homes may be difficult to find in some areas due to high buyer demand.
Youre Emotionally Attached to Your Home
Many boomers raised families and spent decades in their homes.
Letting go can be emotionally painful.
This generation has lived through and experienced the most financial crises to date.
Home equity is important, but being financially stable in retirement is about more than that.
Ward recommends thinking about what you want from retirement.
If its financial flexibility, we should explore the potential of tapping into the homes equity, Ward wrote.
Downsizing could also mean relocating to a more affordable area or considering a multi-generational property, he added.
The key is approaching it with a strategy that respects their lifestyle and long-term goals, Ward explained.
This added layer of complication makes the choice more intimidating for those who did not plan.
Thor suggests having an idea of where you stand in terms of your finances.
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