Are you looking to Downsize and Retire Earlier?

When planning for Retirement usually starts with some financial considerations, deciding when and where you want to retire is quite often be guided by how you position your finances.

The Australian Tax Office first introduced the Downsizer contributions into personal superannuation in July 2018. The purpose is for people who have lived in their homes for at least 10 years to be able to make a contribution of up to $300,000 (each) from the proceeds of the sale to their superannuation. The current age for eligibility is 65 years, however, from 1st July 2022 that will reduce to 60.

The sale of the family home can be a great way to secure your retirement nest egg, offering a generous financial incentive to downsize. Hometown Australia’s Communities offer an exciting and vibrant lifestyle providing you with social get-togethers, sports and activities, and special interest groups all within fabulous locations.

An added benefit is that these contributions do not count towards concessional or non-concessional contribution caps, and as a couple, you could be eligible to contribute up to $600,000, as long as the amount does not exceed the proceeds of the sale of your home.

With continued strong demand and record prices in many of our country’s real estate markets, now is the perfect time to consider downsizing and taking advantage of the financial incentives available to you. Now could be the time to get you closer to your retirement goals earlier than expected by increasing your superannuation balance.

There are other benefits to downsizing apart from having the opportunity to free up your finances, which can allow you to be mortgage-free. You can invest in your future, or finally, splurge out on something you have been putting off. You don’t need to be retired to take advantage of this opportunity. Most of Hometown’s Communities are suited to residents aged 50/55 and above. You can still be working and have all the benefits of a low-maintenance lifestyle whilst enjoying your time off rather than working around the home or worrying about your financial future.

The advantages of choosing a new home in a Hometown Lifestyle Community is that they offer you all the benefits of a smaller home but without comprising your lifestyle and amenities. A smaller home will generally generate lower Insurance and utility costs as well as less maintenance and upkeep.

To find out more please speak with one of our sales consultants or visit Ato.gov.au.

Discover all our Over 50s homes available for sale here .