Downsizing Your Home: Is It the Right Move?
For many retirees, the family home is their biggest asset. Downsizing can free up capital, reduce maintenance and even boost super. But it’s not always straightforward.
The Pros
- Release equity to boost retirement savings
- Lower bills and maintenance costs
- Potential to move closer to family or amenities
The Cons
- Emotional ties to the family home
- Moving costs, including stamp duty (unless exemptions apply)
- Smaller properties may not suit future health needs
Downsizer Contribution
From age 55, you can contribute up to $300,000 from the sale of your home into super – $600,000 for couples.* This is in addition to normal contribution caps.
Final Thought
Downsizing can be a smart financial and lifestyle move, but it’s a big decision. Balance the emotional and practical factors before making the leap.
References
- Australian Taxation Office (ATO). Downsizer Contributions into Superannuation, 2025.
Disclaimer: This information is of a general nature only and does not constitute advice. It has been provided without taking account of your objectives, financial situation or needs. Because of this, we recommend you consider, with or without the assistance of a financial adviser, whether the information is appropriate in light of your particular needs and circumstances. Hendrie Financial Strategies is a corporate authorised representative of the Madison Financial Group Pty Ltd, Australian Financial Services License No 246679, ABN 36 002 459 001.
