If you’ve been thinking about downsizing—whether to lower your monthly expenses, move closer to family, or simply make life easier—there’s a growing trend you should know about. More and more homeowners are buying their next homes outright in cash. That means no new mortgage, no monthly housing payments, and a lot more financial freedom.
A Record Number of Homeowners Are Mortgage-Free
Recent analysis from ResiClub, based on Census data, shows that over 40% of U.S. owner-occupied homes are mortgage-free, an all-time high. That means nearly 4 in 10 homeowners own their properties free and clear. One major reason? Demographics. As Baby Boomers stay in their homes longer, many have had the time to pay off their mortgages completely.
If you’ve built up equity or already paid off your home, you might be in a stronger financial position than you realize. That equity could be the key to buying your next house with cash.
(Source: ResiClub via HAR)
Turning Equity into Buying Power
For many Baby Boomers, using equity to purchase the next home outright isn’t just possible—it’s practical. Downsizing into a smaller or less expensive property can mean:
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Lower monthly costs
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Less upkeep and maintenance
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More time and flexibility to spend on what matters most
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No mortgage stress in retirement
And remember—downsizing doesn’t mean downgrading. In fact, it’s often an upgrade in quality of life. A right-sized home can give you freedom, comfort, and the lifestyle you want without unnecessary financial pressure.
Why More Buyers Are Choosing Cash
According to a recent survey from John Burns Research and Consulting (JBREC) and Keeping Current Matters (KCM), the number of all-cash buyers is climbing across nearly every region of the country. Paying cash can also make your offer stand out, speed up closing, and reduce the headaches that sometimes come with financing.
(Source: Keeping Current Matters)
Here’s How It Works
The process is straightforward:
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Sell your current house.
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Use the proceeds (your equity) to buy your next home in cash.
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Enjoy life without a mortgage payment.
Even if this sounds out of reach, you might be surprised at what your current home is worth in today’s market. Your equity could be stronger than you think.
The Bottom Line
You’ve worked hard for your home. Now it’s time for your home to work for you. Downsizing with cash gives you financial peace of mind, more freedom, and the chance to live your retirement years on your own terms.
I’ve helped many homeowners throughout the Bitterroot Valley make this very transition—selling a home they’ve loved and using that equity to secure a new chapter of life, free of monthly mortgage payments.
If you’re wondering how much equity you have or what your next move could look like, I’d love to help. Give me a call today, and let’s talk about how to turn your homeownership success into your next opportunity.
—Wanda Sumner, Broker Associate | Berkshire Hathaway HomeServices Montana Properties
