CLOSING A HOME MADE EASY

M. Lyn Livingston ISA CAPP

I believe that our homes are a reflection of our personality. We don’t often think about it, but over the years we amass a collection of personal property that range from new to antique, heirloom to junk, useful to dilapidated. After just a few years in a home the drawers are full, the closets are bulging, and the garage and attic are packed. Tucked into corners of the china cabinet are grandmother’s old china, Aunt Ellen’s glass, stray pieces of silver and odds and ends of childhood memories. Every few years, we clean out the things that we don’t have the heart to throw away or you can’t get the kids to take with them and pack them away making room for the new inheritances, gifts, collections and good intentions.

You may be thinking of moving into a smaller home or retirement center; or perhaps you are acting as a personal representative for a loved one’s estate. For whatever the reason, when closing a home this question will cross your mind. “What am I going to do with all this stuff?”

Questions to consider whenever you are closing a home are:

Ø What can I take with me?

Ø What items are considered heirlooms?

Ø What items do children and family want?

Ø Does personal property need to be sold to raise funds for health care, living expenses, or to meet finical obligations of the estate?

Ø What has value and what needs to be thrown away?

Ø Do I have the time, energy and knowledge necessary to close this home in the most efficient manner?

When downsizing, the first question is “What can I take with me?” Additional questions to consider are centered on why you are moving and the location. Will you be doing any cooking or plan on doing entertaining? What hobby and other diversion items will you need? Is health care equipment a consideration? One of the most important questions is what will fit and where will it go. Often the services of an interior decorator or professional organizer will make this job easier. Space permitting, plan your décor around easy living and allow for room to navigate.

The next question is one of the most important. What items are considered heirlooms? Many homes may be full of antiques, collectibles and old stuff but few are heirlooms. Heirlooms are the link between our past, our present and the future. Knowing who, what, when, where, and why behind a cherished object is often more important than the monetary value alone. Take the time to identify what pieces are true heirlooms, their provenance and any traditions associated with the item. It is important to honor traditions associated with an heirloom before a request for the item.

Once you have identified the heirlooms it is easier to identify what children and family members want. Most often children are hesitant to openly state what they want and parents are reluctant to ask or assume they don’t have room. Downsizing is a perfect opportunity to ask and plan. The key is in the asking and then determining when a request will be granted. Now is the time to insure that your family honors your intentions and that you are not burdening them by making lists and formalizing plans with your estate planner or legal counsel.

Now that you have laid the groundwork the value questions are easier to answer. First, do you need to know the value of items in order to equitably distribute the estate? Simple market value appraisals can be utilized. Often the appraiser can provide a verbal approximation of value or a simple written appraisal to provide the information you require.

Does personal property need to be sold to raise funds for health care, living expenses, or to meet finical obligations of the estate? Often when items must be sold, a professional estate liquidator or appraisal services are required. Whenever family heirlooms must be sold it is important to consider family first. Planning ahead enables you to prepare for the need to liquidate personal assets and also protects your family’s interest.

The benefits of knowing what can be thrown away and the value of items are the principal advantages to utilize professional services in addition to saving you time and energy while you focus on other important things. Frequently we hear of items purchased for a song in a garage sale of given to charity because the value is not recognized. This occurs most frequently when the family conducts the sale themselves.

Closing a home can be one of the most difficult tasks you are required to do. Using professional services to your benefit can find the answer your question, “What am I going to do with all this stuff?”.