As you get older, the need for financial security becomes more pressing – particular if your health is better than you thought it would be and your retirement savings need to last longer than you had planned for.
Maybe you’re asking yourself “should I be reducing my costs of living now that less income will be available to me post retirement?”. Or maybe you are wondering “should I downsize my home and pay off the mortgage”?
Whatever the motivation, there is a natural inclination as we get older to scale back our lives; get rid of all the clutter both mentally and metaphorically speaking. Cutting back in day to day expenses is a start, but the real savings will come with transforming your lifestyle and downsizing to a more affordable version. For many this means looking to other destinations, and quiet achievers such as suburbs outside of Hobart and Adelaide, may be your ideal destinations.
With the national mean house price hovering at close to $700,000, selling your home now and buying something smaller somewhere else can be very lucrative indeed. You could in fact downsize your home and pay off the mortgage, giving you plenty of capital to reinvest in a new smaller home and potentially an investment property as well.
Recent figures have revealed that the average house price in regional South Australia is just $265,000 (as of the June quarter 2017). In addition, property in regional Tasmania had an average price of $249,000 and even in inner suburban Hobart, prices average just $430,000 (as of the end of June quarter 2017).
Both states offer fantastic lifestyles, with all the perks of city living on offer in both Adelaide and Hobart, with far less chaos and complication. Adelaide and Hobart have made their mark on the nation’s cultural scene with international events and institutions now firmly on the list of iconic Australian attractions. WOMAD and the Adelaide Fringe transform Adelaide in late summer and with very little fanfare, Hobart’s Museum of Old and New Art (MONA) has managed to become one of the world’s most highly acclaimed cultural collections.
The regional beauty of both states is no secret and being able to drop into the Barossa Valley for lunch, or take a day trip to spectacular World Heritage landscapes in Tasmania cannot be underestimated. In addition, the demand for a talented and skilled workforce in regional centres has improved the employment opportunities for many and opportunities for excellent remuneration, along with a speedier transition through career growth should not be ignored.