As retirement looms, Canadians are living longer and spending more time in retirement than previous generations. That means your savings need to stretch further, and your biggest financial asset could help.
Your home.
If you're still living in the home where you raised your family, chances are it's not just too big—it's too costly.
Downsizing can unlock several financial benefits:
Liquidate Non-Income-Producing Equity
A principal residence is not a liquid asset. Downsizing allows you to shift equity into RRSPs, TFSAs, or other income-producing investments.
Tax Efficiency
In Canada, you can sell your principal residence without paying capital gains tax. This creates a one-time window to access a large, tax-free gain—something rare in retirement planning.
Eliminate High-Cost Assets
Large homes often come with:
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Higher insurance premiums
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Costlier maintenance (roof, HVAC, etc.)
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Unused space that still costs money to heat, cool, and clean
Transition to a More Strategic Location
Consider proximity to healthcare, walkable communities, or lower-cost regions. All of these can stretch your dollars further without sacrificing lifestyle.
Bottom Line:
Downsizing isn't just a lifestyle change, it's a financial strategy that could extend the life of your retirement savings by years, even decades.
Curious about what your home is worth or where to start? Reach out for a complimentary downsizing consultation tailored to your financial goals.
