moving decisions

8/9/2019 Moving Decisions

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MOVING DECISIONSThe Ultimate Guide for PeopleAged 55+ Who Are Thinking of

Moving to a Smaller Home in Toronto

Royal LePage Real Estate Services Ltd., Brokerage

Office: 416.424.4900

Direct: 416-846-8926

Web: www.idealexperience.ca

Email: [email protected]

Presented by John Brydon-Harris

Sales Representative


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MOVING DECISIONS

The Ultimate Guide for People Aged 55+ Who Are

Thinking of Moving to a Smaller Home in Toronto

TABLE OF CONTENTS

Where Are You? Demographics and Beyond 3

Housing in Toronto 3

Facing Facts 6

Transportation 7

The Family Factor 8

The Decision Is Made: Now What? 9

The Value of Your Home 10

Marketing Your Home 11

Your Possessions 12

Presentation and Staging 14

You, Your Agent and Your Dream Home 16

About Financing 17

The Move 17

One Happy Ending 18

The Gold Standard in Transition Management 19


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John Brydon-Harris 3

People are different. And for every individual facing retirement

and deciding where to go from there theres a different answer

to the question: Who am I now?

As our homes and our lifestyles are woven together, where to live

in the next phase of our lives becomes a central issue.

For those Torontonians who are wrestling with the decision of

how and where to live in this next important phase of their life

journey, this guide can help. It can aid you in making the right de-

cision about the way you want to live for the next 10 to 30 years,and, more importantly, it can tell you how to go about getting that

decision right.

Who Are You? Demographics and Beyond

Those 65 and over now represent 14.4% of Torontos population.

And once again its the baby boomers, born between 1947 and 1966,who are changing the face of our society as they age.

Older boomers have reached 65, and in their retirement, theyve

already had an impact on Canadas customs and behaviours, not to

mention healthcare services and employment. And this is just the

start, as the last of the younger boomers dont hit that milestone until

the 2030s.By then more than 9 million individuals in Canada will have reached

65, representing 20% to 25% of the population by 2031; Toronto will

mirror that. And the takeaway is obvious: More change in virtually

every area of society.

Housing in TorontoThat includes housing, which is already changing along with local

baby boomers; an aging Toronto is bringing about a sea change in

the GTA real estate market, as roughly three-quarters of the 55 to 74

age group are homeowners. The vast majority of these homes will


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add to the housing stock. Todays baby boomers may not be listing

yet, but tomorrows undoubtedly will.

Most boomer homeowners are now mortgage free, meaning olderCanadians have considerable equity in their family homes. Interest-

ingly, many are putting a lot of stock in their home equity: almost a

quarter expect the sale of their homes will be a primary source of

income in their retirement, according to recent research conducted

in 2014 by Sun Life Financial; the rest, they believe, will come from

government and employment pensions, individual savings and oth-

er sources.

Against this backdrop, other demographic factors come into play:

After age 65, for example, an individuals health begins to deterio-

rate, meaning older adults are finding it increasingly difficult to man-

age a large family home. Health costs are also rising rapidly and,

as one interesting statistic from a Canadian Medical Association

(CMA) study indicates, more than three-quarters of Canadians over

45 are concerned they wont be able to afford the costs of aging.

(Perhaps one reason why they plan to count on their home equity in

retirement.)

Currently, a large number of elderly people are living on their own,

either as a result of the death of a spouse or other factors. Fami-

ly members are often spread out across the country or around theworld, and long-time friends are moving away from the neighbour-

hood. As well, these neighborhoods are changing, as many older

houses are literally over-shadowed by new builds.

Those older adults who do opt to remain in their own homes face

concerns over safety and security; they are having to adapt their

homes to their new reality, which involves expensive major structur-al changes (such as elevators or stair lifts, as well as wider doors and

rebuilt bathrooms to accommodate wheelchairs, to name just a few.)

They also will likely need additional support, paid or unpaid, to con-

tinue to live as they did. This, too, could be prohibitively expensive


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at a time when many seniors are experiencing a reduction in income

as a result of retirement or the death of a spouse.

Lifestyles change as many seniors opt (or are forced to) stop driv-ing, making it increasingly difficult to get to grocery stores, doctors

appointments and churches and synagogues. Visiting friends gets

harder and harder, and something as simple as a walk in the park

may feel dangerous to older people, who regularly read news items

about attacks on the elderly.

Not surprisingly, many are becoming socially isolated, depressedand lonely.

As the adage goes, aging is not for sissies, and many boomers are

finding it extremely hard to adjust to this new phase of their lives.

They do have choices: over the last 10 years, developers have seen

the statistical writing on the wall and designed retirement residenc-

es with todays (and tomorrows) boomers in mind. Adult lifestylecommunities offer amenities and security for those who like to be

surrounded with individuals their age. And those who prefer their

own company are finding a compelling option in downsizing, partic-

ularly in the Toronto area.

Torontonians are a special breed of individuals and most value the

nearness of our big city and all that it offers in the way of world-class entertainment, recreation, shopping and dining. So many will

be looking to downsize where the lights of downtown are a short

transit ride away.

THE DOWNSIZING OPTION

Statistics indicate that the vast majority of people would prefer toage in place, if not in their current home, then in a smaller home in

the same community. The result can be described as the best of

two worlds: They remain in familiar territory and retain the privacy

boomers value so highly, and at the same time, they benefit from


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reduced maintenance and a more comfortable lifestyle. Its the tran-

sition thats difficult.

Facing Facts

Before even starting to consider the downsizing option theres one

issue that is paramount and must be addressed. It is: Do you have to

move for financial or health reasons, or is it something you want to

do (even though there are still lots of questions, concerns and issues

to be dealt with before the final decision?)Your answer will dictate your choices from here on in.

Following is a short questionnaire that can help. It also can serve as

a jumping off point for discussions with your spouse or other family

member. And it can raise other questions and issues that need to be

considered:

Have you lost your spouse and now find yourself alone in

your large family home?

If your partner is still with you, are either or both of you

suffering from mobility or cognitive issues?

Do you and/or your partner no longer drive?

Do members of your close family live far away?

Do you need household help?

Are your friends and neighbours moving away?

Is the house more than you can handle?

Are you too far away from public transit?

If you answered yes to most of these questions, you may be ready

to sell your home and either downsize closer to home or follow up

with assisted living or retirement residence options. Even if not, you

may just want a smaller place to call home.


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Transportation Plays a Big Role in Your Downsizing

Decision

Rather than an afterthought, transportation considerations should

be an integral part of your decision to downsize.

Research indicates that we will live at least 10 years after we can no

longer drive. A scary statistic for some! Scratch a Torontonian and

youll probably find a person who wants the system to improve, how-

ever, compared to other cities, our system isnt bad. The network ofsubways, buses and streetcars make it easier to get around here

than in other cities both in and out of Ontario. And as drivers realize

daily, its sometimes a lot faster to take transit than drive, particularly

during construction season and rush hours.

That said, getting to and from the subway, bus or streetcar is often a

challenge for older people. Those last few blocks may well discour-

age older people from venturing out, and, as a result, will detractfrom the quality of their lives. Getting off and on transit, particularly in

Torontos nightmarish rush-hours, presents physical barriers to those

dealing with mobility challenges.

Its important to be able to leave home: The ability to visit friends, get

to doctors appointments or the gym, see a movie or return a book,

and, of course, buy groceries, is part and parcel of an active lifestyle,

and not having opportunities will leave older people (and younger

ones as well) isolated and depressed.

For those who drive, transportation is a major household expense,

some stats say it represents up to 25% of total income. This can be

lowered to less than 10% if you can live closer to all the amenities

one good argument for downsizing in one of Torontos many neigh-

bourhoods near transportation.

Look at your current neighbourhood and examine your regular daily

activities. Then figure out how you would manage to do all your daily

errands if you didnt drive. Do your activities take you far from home?

You may want to downsize somewhere closer.


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The Family Factor

Lets eavesdrop on the following imaginary conversation. Why?

Because versions of this conversation are taking place right nowthroughout Toronto in neighbourhoods just like yours. Its important

to recognize the potential for inter-family conflict over selling the

family home and downsizing. Because all the statistics and facts in

the world cant carry the weight that an argument with adult children

can have over the issue of downsizing.

Daughter: Fifty years ago when Mom and Dad bought this house, Idont think they had any idea it would come to this.

Son: Its not easy for any of us. After Dads death, Mom has been

finding it really hard. I know shed like to downsize, but I just cant

bring myself to agree to sell the home we grew up in.

Daughter: I know. Where will the kids come for holidays? They need

their roots now that we live so far away.

Son: All I can remember is swinging on that old apple tree in the

backyard. Remember you broke your wrist climbing that tree? Our

kids wont get the chance to do that.

Daughter: But selling may be best for Mom Oh, I just dont know

what to do

As this conversation shows, families everywhere are struggling to

come to grips with selling the family home: Family members may

live hundreds of miles away, and therefore will find it particularly

hard to decide such important issues at a distance; parents may feel

that downsizing is the right answer but not want to get into conflict

with their family over it.

Yes, it is a family issue everyone should have a chance to contrib-

ute to the debate, even the grandkids but ultimately its what the

older person wants and needs that should sway the decision. And

thats as it should be.


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The Decision is Made; Now What?

Once you decide to downsize, youre then faced with a whole new

set of questions, as you decide where to go from here.

Do you want to stay in the same neighbourhood or do you want

to look farther afield? As mentioned above, research indicates that

most older people prefer to stay with what they know. So if it fits with

other needs, such as proximity to transportation, health care, gro-cery stores, family and other concerns, you may want to stay close

to home. This, too, will determine where you want to focus your

energies.

When do you want to do this? Do you want to be in your new home

within six months, six years or six weeks? If youre thinking of buying

new construction, timing will be important.

What type of home are you looking for: Detached, semi-detached,

townhome, condominium? Does an urban nest in the sky appeal af-

ter years on the outskirts of downtown or does a smaller detached

home in a neighbourhood similar to yours sound right for you? Or,

what about a bungalow in a slightly more suburban location? Do you

need somewhere without stairs, either now or perhaps in the future?

How much maintenance do you want to do? Is parking a necessity?What about recreation proximity to walking trails, a nearby commu-

nity centre and parks?

And what about cost? Torontos real estate market has changed

since you bought your family home. Youll need help navigating the

new reality of housing in the city. (For example, did you realize that

the average price of a detached home in downtown Toronto at the

end of 2014 was skirting $1 million, thanks to the scarcity of this typeof housing? Many detached properties are going for well over that.)


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TRANSITIONS

The Value of Your Home

Once youve faced these issues (or maybe while youre still consid-

ering them), it will benefit you to contact an experienced real estate

agent. You need to know the value of your own home in order to

make an informed decision about downsizing.

The Toronto real estate market can be a scary place to someone

revisiting it for the first time in many years. Your real estate agent

should be familiar with your neighbourhood and be able to help you

navigate these tricky waters.

For example, the Toronto Real Estate Board has produced a chart

detailing the monthly MLS average price from January 1995 to Janu-

ary 2014. In January 1995, this average MLS price hovered between

$175,000 and $225,000; five years later it had moved slowly to set-

tle near the $225,000 mark. But if you fast forward to January 2014

its just over $575,000.

This chart, which doesnt consider the impact of inflation, just gives

a snapshot of the way the market has performed over this period. A

real estate agent, with access to all sorts of additional information,

will be able to put this in perspective, hone in on whats happening

in your own neighbourhood and give you a fact-based answer as towhat your home is worth now based on sales of comparable neigh-

bouring homes (called a CMA, or Comparative Market Analysis.)

What factors go into valuing your property? Your agent will look at

the active listings the listing prices of homes currently for sale

in your neighbourhood as well as the solds, which show the ac-

tual selling prices of properties in your area. As much as possible,the agent will compare apples to apples, meaning other properties

should be as close as possible to yours in terms of square footage,

amenities, upgrades, age, and location.


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With a CMA, the comparables must be just that, comparable. Agents

look for houses with similar square footage, amenities, upgrades,

age, and location.Contacting a real estate agent is one of the first steps you should

take even before you decide what you want. Most experts be-

lieve it is probably the most important single factor in downsizing

successfully.

Marketing Your HomeThe approach to marketing your home has changed dramatically

over the years. Where newspaper advertising and an open house

or two may have been all that was required several years ago, the

Internet and social media have been game changers as far as mar-

keting todays properties is concerned.

Many buyers look first online before even venturing out to an openhouse. Your real estate agent may recommend taking a raft of pho-

tos of your home, from both inside and out; preparing a 360-degree

tour; and, if your landscape and the scope of your property is es-

pecially noteworthy, even a video of your home filmed from above,

courtesy of a drone.

Close to 90% of buyers still purchase through a real estate agent,and it is important to use his or her expertise not just in pricing but

in marketing your home.

The reason is because buyers also have changed; they are now

looking for properties that are updated with hardwood floors, open

floor plans, stone countertops, new wiring and plumbing which

your home, however lovely to you, may not have.

It may be a shock for many older adults who have lived in their homes

for 30 or 40 years to discover that buyers are shunning some of the

very things that attracted them to their homes.


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Those with-it tiles and shiny white appliances are no longer prized.

The cozy kitchen with the breakfast nook isnt large or open enough

for new buyers. The windows are energy-wasters. And who cov-ered the hardwood floors with carpeting?

Your real estate agent will help. And likely as not, he or she will

mention staging your home which really is just a word that means

presenting your home in the best light, so buyers can see its great

features and arent distracted by the not so great ones.

And almost certainly youll find you will need to downsize your pos-sessions to downsize your home.

Your Possessions

Everyone finds change difficult, especially older adults. The thought

of moving, let alone downsizing to a smaller place, can terrify the

best of us. And the idea of having to get rid of much-loved posses-sions collected over many years is particularly agonizing.

For the majority of older adults, divesting their possessions is the

most difficult part of the downsizing process, and it can be a highly

emotional one. Especially because with the exception of special

family heirlooms or memorabilia many adult children and their chil-

dren are unlikely to want any of it.Even a relatively healthy person will find going through a basement

or attic packed with things that have been gathered over a lifetime

physically and mentally draining. If the family lives a distance away

they may not be able to help, and chances are friends of the same

age will also find this kind of labour physically demanding.

As well, many people dont know very much about the current mar-ket for antiques, art and other collectibles. Sadly, unless they are

very much in demand and very special, there isnt a great market

today for older furniture, china, or even the family silver. But its


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important to find out. No one wants to be the person who threw a

Picasso ceramic plate into the thrift store box.

Here are some tips:

Locate a reliable appraiser or appraisers, who can provide

accurate assessments of antiques, paintings, jewellery, and

even stamp and coin collections.

Ask the appraiser(s) for suggestions on disposing of these

valuables by the best method possible. They should provide

you with several options.

Discuss the appraisals with family members. As suggested,

they may not want anything, but talking about it is an import-

ant safeguard to prevent problems in the future.

Give them whatever they want as soon as possible for a

couple of reasons: The first is that it helps with the process by

taking these items and their emotional attachments right out

of the house: Out of sight, out of mind. Second: It may make

it easier in future to get rid of other, less sentimental items.

Get some help to sort the remainder, either from profession-

al organizers or from friends and relatives.

As you come across them, put the items you know you wantto keep in a separate place altogether. Its important not to

throw the baby out with the bathwater in error.

Sell or give away what remains. Valuables can be sold

through auction houses, while worthy but less valuable

articles in good condition can go to antique stores. A garage

sale will likely take care of the majority of leftover items and

what remains (as long as its usable) will probably be wel-

comed at church rummage sales or a local charity.


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Be forewarned: The process of divesting may take a number

of weeks or even months to complete. And, believe it or not,

after youve faced this, moving wont seem quite as scary.

Presentation is Everything

Putting the best face on your home to attract potential buyers is

well worth it. It can bring a premium of up to 20% more over similar

properties that havent been staged. Its a classic case of spend a

little to get a lot.If you Google staging youll get some 1,610,000 results in 0.34 sec-

onds, so theres no shortage of information or how-tos. Your real

estate agent will be valuable in two ways: first, by identifying those

areas that need repairs versus the ones that simply need sprucing

up. And secondly, by recommending professionals who will make

the changes your home needs to look its best.

Staging Suggestions

Buying matching kitchen appliances, installing hardwood flooring,

changing lighting, and even painting wont make as big a difference

as a good cleaning, decluttering and removing all personal items

will make. That includes family pictures, religious items, tschokes

and anything else that might distract buyers, who want to see them-

selves in your home. That also means the grandkids pictures on the

refrigerator, pill bottles on the nightstand and framed certificates in

the den. And this is something you can and should do yourself,

if you are able.


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After youve decluttered and depersonalized, the professional youve

hired may suggest bigger projects. Here are some possibilities:

Certainly tell the professional what made you love your home

over the years, but be aware that he or she may also be able

to pick out wonderful features youd never thought of. Just one

example: Todays buyers really like built-in storage, particular-

ly bookcases. A professional may suggest a way of displayingitems on the bookcases that really allow buyers to imagine

themselves living there. It likely will require you to depersonal-

ize and declutter.

According to experts, 90% of buyers decide to look at your

home based on its curb appeal. The professional stager may

recommend cleaning or even painting the exterior; new lighting,

numbers and door hardware, and of course, cutting the grassand sprucing up the landscaping.

Kitchens and bathrooms sell houses, and thats where most of

your renovation dollars should go, particularly if you havent

made changes since you bought the home. Youll get an 80%

plus return on the investment you make renovating your kitch-

en, and roughly 75% from bathroom renovations.

Income Propertys Scott McGillivray says hardwood flooring is

the number one home feature most requested by buyers. If you

live in one of Torontos older neighbourhoods, you may well

have hardwood in good condition under your carpeting. Expose

it; it will help sell your home.

Painting the interior of your home may be disruptive, but its

almost essential. Many experts will suggest using neutralsthroughout, but colour-blocking one wall in the living room or

brightening an upstairs hallway with one of the seasons more

popular colours, can make your home stand out.


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YOU, YOUR AGENT, AND YOURDREAM HOME

A good real estate agent will not abandon you once your home issold. He or she will not feel the job is done until you are comfortable

and happily ensconced in your new home. And that means finding

the right home for you, presenting your offer and negotiating with

the sellers agent. It also means that your real estate agent may

provide you with help to move and recommend individuals who can

fix, clean and help decorate your new home.For second nesters, moving into a new, smaller home can be excit-

ing an opportunity to start over, maybe in a new neighbourhood or

maybe in your own neighbourhood on a smaller scale. As noted, the

same real estate agent who helped you sell your home, held your

hand during the auction sale and moved boxes as you decluttered,

can find you Dream House #2.

Remember that he or she is more likely to know in advance when a

special property is about to come onto the market and even a two-

hour lead might mean the difference between snagging the perfect

house or losing it to someone else.

He or she also is experienced in multiple offer situations and has

strong negotiating skills gleaned from many years of bargainingon behalf of hundreds of clients. Listen to what your agent has to

say and follow his or her lead. Trust him or her to take the right

tack in presenting your offer. And dont lose the second home of

your dreams over a few thousand dollars or appliances that arent

included.

Most Torontonians who downsize are going from a single fam-

ily home to a condo; one of the main challenges in trading in a

three-storey detached home for a small condo with a view is not

having sufficient storage space, cupboards and closets. One wom-

an, who downsized from her large home in Toronto, to a 1,000-sq. ft.

condo didnt tell her agent about her concerns over lack of storage


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space, thinking perhaps that shed learn to live with less. After only

six months she could no longer tolerate the space issue and had to

move again fortunately her agent was able to find her a townhomewith a bedroom and bathroom on the main floor and lots of closets

and storage space.

About Financing

Just as prices and buyers have changed since most older adults

purchased the homes they live in now, financing and mortgages

have changed, too. If you decide not to make an all-cash offer, some

sort of financing will be involved in the purchase of your new home.

Youll need a mortgage specialist to help you buy and your financial

institution and/or financial advisor to provide advice on all matters

financial.

Its usually advisable to stick to the same bank and financial advisorsyouve dealt with over the years; they know your situation and will

be able to use their long-standing relationship with you to offer you

the best advice. By the same token, you may also want to stay with

your current lawyer, if he or she is familiar with real estate law. If not,

it may be advantageous to ask him or her to recommend a good real

estate lawyer.

On the other hand, it might be best to ask your real estate agent to

recommend a good mortgage professional. Your agent has likely

worked with many mortgage brokers over the years, and will know

which one is best suited to your needs.

The Move

Most agents will be able to suggest a good moving company. These

days its important to get recommendations from a reliable source,

because there are many moving scams taking place in and around


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the city. It goes without saying that you dont want this to happen to

you.

Cheaper is not always better. Often discount brokers sub-contractthe move to another company so you dont really know who youre

dealing with should something go wrong. A 2013 CBC Market-

place investigation of discount movers recounted tales of damaged

goods, delivery delays, valuables that mysteriously disappeared,

and upset consumers, who had to pay an additional fee before

their belongings would be unloaded.

Protect yourself by contacting the local BBB and/or the Canadian

Association of Movers. Ask for referrals. Get estimates in writing.

Make sure the movers contact name and telephone number are

valid. And move your valuables yourself.

One Happy Ending

As one downsizer said after several happy years in Dream Home

#2, Yes, it was traumatic, and it was devastating to walk away from

the home we loved and raised our family in. But in another way, we

both felt freer than we have in years. Were less encumbered with

things now, and can actually walk out of our condo, close the door

and know we dont have to worry. Theres no grass to cut, no leaky

roofs to fix and no more sewer backups. There is, instead, a lovely

solarium with a fabulous view of the city where we can have coffee

in the morning. We have all the amenities of Toronto on our door-

step. We even have an extra bedroom to house our grandkids and

lots of space to entertain.

Were both glad we downsized now.


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John Brydon-Harris

The Gold Standard in TransitionManagement

Downsizing can be the best move youve ever

made.

But to make a successful transition from

Dream House #1 to Dream House #2, you

need help.

Many agents may offer individual downsizing

services by delegating various tasks to others.

I offer a concierge service.

I will be your SINGLE POINT OF CONTACT

for every downsizing activity. My sole supplier

is Interior Care an established 52-year-old

North Toronto home services company with a

winning reputation.

I can order a dumpster; install a new furnace; replace your carpet; paint your

house; lay down sod; handle your local move whatever is needed And I

can finance it. I can even provide necessary repairs and decoration services

for your new home.

My commitment is to manage your transition and see you happily settled

in your new home.

For a free, no obligation consultation, contact me at:

Royal LePage Real Estate Services Ltd., Brokerage

1391 Bayview Avenue

Toronto, ON

M4G 3A6

Office: 416.424.4900Mobile: 416-846-8926

Fax: 416.424.4930


John Brydon-Harris is a real

estate agent in midtown

Toronto, and a specialist in

successful transitions.


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Royal LePage Real Estate

Services Ltd., Brokerage1391 Bayview Avenue

Toronto, ON

M4G 3A6

Office: 416.424.4900Direct: 416-846-8926

Web: www.idealexperience.ca


JOHN BRYDON-HARRIS

Sales Representative

idealexperience.ca

Seniors Real Estate Specialist

moving decisions

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