A home that is either too small or too large may not fit your current needs.
Long commutes may be costly in fuel, wear and tear on your vehicle, and your time.
Other neighborhoods may offer more than where you currently live.
A remote work opportunity may allow you to live wherever you want.
1. Your current house is too small
Your life circumstances may change over the years. You may have more children, for example, or want to adopt. Perhaps you started a business out of your current space that you hope will eventually become something big. Or maybe you took up a new hobby and want to turn your basement or garage into a woodworking shop, fitness studio, or something else.
If you feel like you’ve outgrown your current home, selling and moving to a larger home could give you the extra space you need.
2. Your current house is too big
Owning a large home can be expensive. The more house you own, the more maintenance it may require each year. As a general rule of thumb, a homeowner may spend anywhere from 1-4% of the home’s value in maintenance annually. Moving to a smaller home may help you save money on repairs.
Large homes may also be expensive to heat and cool. Although energy prices will vary depending on the type used (e.g., gas, electric, wood, radiant heat, etc.) and your location, buying a larger home than you need could result in high utility bills. A smaller home may help you save on energy costs.
Another factor to consider is your monthly mortgage payment. If your current mortgage payment is stretching your budget, moving to a more affordable home could give you the financial cushion you need.
3. You want a shorter commute
Driving to and from your job, school, running errands could be expensive if you live far from your destinations. The cost of gas and the wear and tear on your vehicle from driving a lot could be a significant expense.
In addition to saving money, moving to a home with a shorter commute could also save time. Driving 30 minutes each way to work and back may not sound like it’s very long, but it adds up to several hours each week that you could spend doing something else.
4. Your neighborhood dynamics have changed
Things can change in communities as old neighbors move away and new ones move in. There may also be some reasons why a neighborhood you previously enjoyed living in no longer serves your needs.
Perhaps the traffic has increased since more homes were built, or maybe more of your neighbors have dogs that bark a lot. It’s also possible that the HOA’s rules may have become more restrictive, or maybe they passed a special assessment that you can’t afford. Although each neighborhood you consider will have both pros and cons, you may be able to find a new community that better suits your needs.
5. You now work from home
Many people move to the communities they live in to be near their jobs. But a major change has happened in recent years — many people now work remotely. As long as they have reliable internet connections and phone service, they may have more flexibility to live where they like.
If you now work a remote position, moving to someplace with a lower cost of living could help you save money. It could also allow you to move to someplace you’ve always dreamed of living, like in the mountains, near a beach, or somewhere else.
This content is meant for informational purposes only and is not intended to be construed as financial, tax, legal, or insurance advice. Opendoor always encourages you to reach out to an advisor regarding your own situation.
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