Shari Posey

Downsizing and Rightsizing are the fastest ways to improve your financial situation, if that is what you truly want or need to do.

Downsizing is usually buying a smaller home after the kids are gone and is often done to reduce housing costs and maintenance hassles. It's a no-brainer for many retirees and empty-nesters. But what is "rightsizing?" Rightsizing is to make a move purely to reduce your housing costs and improve your financial picture quickly.

Rightsizing includes...
--The same size house in a less-expensive area.
--A smaller home in the same area.
--A home that doesn't have all the luxury features of your current home but has the necessities and costs less to own and maintain.
--A condo instead of a house.
--A first-time buyer choosing a property that is not much more than their current rent per month yet by owning they will be paying down the mortgage overtime.

Every day I meet people who are stressed about money, living paycheck to paycheck, worried about the future. Other homeowners are doing fine but they are in their late 40s/early 50s and beginning to see the light towards retirement but can't see how it would be possible with 25 more years on their mortgage or because of the home equity loan they took out a few years ago. And I meet buyers who are excited to buy but really have almost no savings beyond 3.5% down.

Both downsizing and rightsizing require a new perspective of looking at your housing "needs" vs. "wants." It requires your number one "need" to be affordability now and for the future. By the way, affordability it is not to be confused with what the bank says you can afford. Affordability is what you can easily pay without stress so you can live a normal life and save for the future. All other things you thought were "needs" are really just "wants".

So how did I become an expert? Because I've learned the lesson...been there, done that. My husband and I were doing fine but all of a sudden looked at our mortgage on our oceanfront condo and realized we were working so hard we didn't have time to enjoy it and started thinking at 48 years old, how much longer did we want to keep it up. We sold and moved to a condo almost the same size but off the ocean yet within bike-riding distance. We also gave up the pool, hot tub and gym (along with high HOA dues). And we gave up the posh address. Most importantly, we gave up more than half of a mortgage payment and a lot of stress! This may be too personal to share but I'm trying to make a point--by making that move, we instantly saved $2500 per month and that's $30,000 per year! And that savings is not by working harder but just by making one change in our life.

Maybe our situation was extreme but I recently ran the numbers for a past client and by moving from their current house into one slightly smaller (several of their kids have left home since they bought) and in a less-exclusive neighborhood they can cut their mortgage payment by $600 per month or $7,200 per year.

Another client is considering a move so the wife can stay home with the kids. By changing neighborhoods (actually moving to an area with better schools) they can save $700 per month for the same size home.

Both of those examples include the cost of selling and buying into the equation. I live and work in southern California, so maybe other areas of the country would not create such dramatic savings.

IF improving your financial situation is the goal, downsizing and rightsizing are a lot fast way to improve than by clipping coupons and bringing a sack lunch to work.

Long Beach Real Estate Prices Rock!

And the City is Awesome, Too!

It's like deja vu all over again! My last few open houses I have had quite a few couples from Santa Monica, Redondo Beach and Pasadena checking out what Long Beach offers for the money. Ironically, the house I was holding open was purchased by a couple who first house hunted in Pasadena but settled in Long Beach. (By the way, they LOVE the area but need a bigger home so they are moving up, not out.)

I'm hoping this trend is a repeat of what we experienced in 2002-4 when at least half of my buyer clients were relocating to Long Beach because of its affordability.

Why Long Beach? The first attraction is the price. Long Beach is substantially less than areas like Santa Monica and Redondo Beach, yet...WE ARE A BEACH COMMUNITY!

Long Beach is the state's 5th largest city so there is something for everyone. In the heyday I offered Long Beach Real Estate Tours for new buyers, showing them homes for sale with a "sightseeing" tour of the beaches, downtown, funky neighborhoods, country clubs, etc. Almost everyone was shocked Long Beach had so many cool areas, and diverse neighborhoods from multi-million-dollar homes to downtown lofts and Mayberry-style suburbs. The majority of these prospective buyers made the decision to buy a home in Long Beach and are now active members of our great community.

These days with listings online, buyers are more savvy about the city and already have a good idea about where they would like to live in their price range. They come through open houses with their Realtor.com printouts in hand. That's great but at some point a buyer needs to fine tune the search and be careful because Long Beach is the kind of city where if you go a few streets in either direction you are in a different area--different vibe, different schools, and most important, different PRICE RANGE.

Summer is a great time to check out Long Beach--not only homes for sale, but also all the fantastic community events going on almost every day or night of the week. I love this city and I would be happy to give an insider's tour so you don't miss out on the best buyer's market we've had in a long time!

Call me for a personalized Long Beach Real Estate Home & Sightseeing Tour!

Shari Posey, Prudential California Realty
(562) 375-1417

This is a 3 bedroom 2 bathroom Craftsman near the beach in Long Beach, CA.

542 Ohio Avenue, Long Beach, CA 90814, MLS P740576, Listed by Shari Posey (562) 375-1417

Absolutely gorgeous inside and out! It has been remodeled but maintains its original Craftsman charm.

You will love this beautiful, upgraded 3 bedroom 2 bathroom Craftsman bungalow in Long Beach, CA wonderfully maintained and ready to move in! It's located in Rose Park, just blocks from Belmont Heights and Bluff Park, and a short walk to the beach.

This Craftsman has gleeming hardwood floors, a wood-burning fireplace in the living room, a formal dining area, and a fantastic remodeled kitchen with custom cabinets and granite counters. The master bedroom has been enlarged (with permits) to include a seating area and walk-in closet--a master this size is very unusual! Both the master bath and the guest bath have been upgraded--a total of 1.75 baths! The yard has lovely landscaping including lemon, navel orange, key lime and kumquat trees, mint, rosemary & of course gorgeous flowers! The property has a large 2-car garage, lots of storage space and plenty of off-street parking in the driveway--very unique for a Craftsman this close to the beach. Upgrades include: dual-pane windows, forced-air heating & central A/C, a sprinkler system, newer 50-gal water heater, and much more! The moment you step inside it feels like home!!

The list price for this 3 bedroom 2 bathroom Craftsman is: $579,000

To view this home, just give me a call: Shari Posey (562) 375-1417