18/08/2026
MEDIA RELEASE
South-west residents considering downsizing are being advised to investigate the potential ramifications before making the big move.
Warrnambool-based certified financial planner Emma Arthur will speak about the implications of downsizing at a free open forum hosted by Australian Independent Retirees (AIR) Warrnambool branch at the RSL at 10am on Friday August 28.
While many empty-nesters considering retirement look to downsize, Ms Arthur, who specialises in Centrelink and aged care for Boyd McDowell, says they don’t always think about all the potential complications.
“We get queried on it a bit, especially with some of the ramifications people might not think about when they’re downsizing,” she said,
Ms Arthur urged anyone considering downsizing to consider issues such as the possibility of losing some of their pension payments, the costs of selling and buying properties, such as stamp duties and other fees, and the potential impact on aged care fees and charges and support at home contributions.
“Our role is not to say you shouldn’t downsize, but from a financial point of view we want to make sure people are aware of what they can and can’t do,” she said.
“If someone has a property worth $1 million and they sell it and buy something for $500,000, from the Centrelink point of view, they have an extra $500,000 in assets and that has flow-on effects with pensioner entitlements.
“Our objective is to make sure people are aware of the ramifications of that before jumping in and downsizing.”
Ms Arthur said some people regret downsizing, as much for emotional reasons as financial issues, but there are many instances where it works well. “If the house is their biggest asset and they decide to downsize, they can free up capital to invest to fund their retirement and potentially retire earlier. We definitely do see positive things as well.
“Farmers are a classic example of where selling the property is part of the retirement.”
The presentation at the AIR branch meeting will also cover how retirement villages work, including entry fees, monthly contributions and exit fees.
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