How much to live on

Albermarle

Organgrinder said:

I keep wondering about downsizing. We've 4 bedrooms and 2 are never used. Going to a 2 bed bungalow makes a lot of sense and would free up £50k or so where we live.

However, I'm not sure I want to just yet and it may be that we'll stay put.

My retirement plan has for some time looked as if I won't need to touch my pension pot. Originally I was intending to use this to fund the gap between retiring and the state pension. The pot itself is doing extremely well, being 15% up in 6 months. 

It does however bring with it another dilemma, albeit a nice one. I don't expect the performance to continue at this level, but if it were to achieve 5% real term growth, retiring 1 year earlier now becomes a possibility.

Downsizing does not always work financially. Human nature being what it is, then when searching for the new property your aspirations can increase. That smaller property might just feel too small. Or wanting a sea view for example, or moving to a more expensive ( per M2) type property, like a bungalow.....

blue.peter

Organgrinder said:

Going to a 2 bed bungalow makes a lot of sense and would free up £50k or so where we live.

A former colleague lived in a bungalow. She once told me that she had significant problems with condensation, and that this was a common issue with bungalows. I can't see why this should be, and have no knowledge regarding the accuracy of her statement. But it might be worth doing a bit of checking before you commit to buying one.

MarzipanCrumble

I live with a wonderful view plus I can fall out the door and walk 3 meters to a walk around a vibrant nature filled (man made) lake and park.

4 bed house for 1.  Quite economical to maintain - council tax is same as for properties I have looked at to downsize.  Utilities are minimal.  Only con is awful public transport but I could afford taxis etc if I lose car.

However house needs updating - not exterior but interior - but it does not seem to make much difference in sale price if it is updated or not.....

If I didn't have a cat I would move to London and a flat....

Roger175

blue.peter said:

Organgrinder said:

Going to a 2 bed bungalow makes a lot of sense and would free up £50k or so where we live.

A former colleague lived in a bungalow. She once told me that she had significant problems with condensation, and that this was a common issue with bungalows. I can't see why this should be, and have no knowledge regarding the accuracy of her statement. But it might be worth doing a bit of checking before you commit to buying one.

As a chartered surveyor with extensive experience in this field, I can assure you bungalows aren't any more prone to condensation than houses. More likely the type of construction, maybe poorly insulated with lack of background ventilation etc, but nothing to do with the fact that it was a bungalow as opposed to a house.

louby40

We're going from a 4 bedroomed, 3 bathroom townhouse to a small 3 bed semi. 2 bedrooms and one bathroom are never used. Pointless to heat and clean. 

My health hasn't been great since having breast  cancer 3 years ago so retiring is definitely in my sights. 

Somebody

According to this week's thisismoney podcast, bungalows are in relative high demand across all age of buyers as they can be extended upwards and outwards quite easily, but those looking to extend may be in for a shock due to the rising cost of labour and materials.

Floss

Somebody said:

According to this week's thisismoney podcast, bungalows are in relative high demand across all age of buyers as they can be extended upwards and outwards quite easily, but those looking to extend may be in for a shock due to the rising cost of labour and materials.

Bungalows are also rarely built in new developments as the land needed for 2 bedrooms could easily accommodate a 4/5 bed house and consequently a higher return for the developer.

Shimrod

Organgrinder said:

I keep wondering about downsizing. We've 4 bedrooms and 2 are never used. Going to a 2 bed bungalow makes a lot of sense and would free up £50k or so where we live.

However, I'm not sure I want to just yet and it may be that we'll stay put.

It's worth taking a few holidays in cottages/bungalows of a similar size to what you might think you would downsize to.

We've talked about downsizing (we also have a four bed house for the two of us) - but a couple of weeks away in small bungalows made us realise we wouldn't be happy with the reduced space. With the smaller property as well as less bedrooms there was less living space and a more compact kitchen. The house just felt crowded. For us, three bedrooms and two living rooms would appear to be a minimum.

Albermarle

Shimrod said:

Organgrinder said:

I keep wondering about downsizing. We've 4 bedrooms and 2 are never used. Going to a 2 bed bungalow makes a lot of sense and would free up £50k or so where we live.

However, I'm not sure I want to just yet and it may be that we'll stay put.

It's worth taking a few holidays in cottages/bungalows of a similar size to what you might think you would downsize to.

We've talked about downsizing (we also have a four bed house for the two of us) - but a couple of weeks away in small bungalows made us realise we wouldn't be happy with the reduced space. With the smaller property as well as less bedrooms there was less living space and a more compact kitchen. The house just felt crowded. For us, three bedrooms and two living rooms would appear to be a minimum.

You get used to having the space, and even with just two people, you are more on top of each other in a small house. Might suit some, but might increase marital/partner discord for others !

When I was working I always had a decent sized company car. When I retired I planned to get a smaller car, but after sitting in some I ended up buying a very similar car as I had when working. Downsizing generally is not as easy as it first seems !

louby40

Around here, bungalows seem to have very small bedrooms. We have a super king size bed so needed a good sized bedroom to accommodate that. 

Our criteria were an ensuite, downstairs toilet, south facing garden and a kitchen where we could put a table.