Do You Think You Need Therapy?—-Try Downsizing Your Life!
I recently sold my home and moved into a condo that I had owned for 9 years. It was originally purchased as in investment, bought on a whim for very little money and nicely rounded out my portfolio. After too many years of frugally living to pay the mortgage on my home and not enough left over to do the things I loved, I decided to sell my house and move into my condo.
The transition was not as hard as I expected, since my house was small and the condo, although smaller, has an oversized garage. It’s more about storage to me than living space, since I don’t like a lot of clutter.
My living expenses went down to 30% of what I was paying for mortgage, taxes, insurance, utilities, upkeep and general maintenance. This is an astonishing difference when you take into consideration that any income above my living expenses can be spent on doing the things I love, more free time, and investing.
I still want to work, and will continue to do so, but now I can take some time off without worrying about a deal I may have missed. My new goal is to add another income property to my portfolio.With economic uncertainties, I find that I am worrying far less, and feel a whole lot better about the future.
Are you strangled by debt? Maybe now is the time to consider downsizing—a good lesson for us and also our clients.