10 Items Retirees Can Sell to Downsize, Streamline and Boost Cash Flow

Key Takeaways

• Downsizing your home can reduce taxes, utilities, maintenance, and repair costs.
• Selling unused furniture, electronics, clothing, toys, luggage and jewelry can generate extra cash.
• Selling rental property or a second car can reduce retirement responsibilities and ongoing expenses.

Downsizing in retirement can help simplify your lifestyle, lower expenses and even create extra income. In addition to moving to a smaller home, retirees may benefit from selling unused items, reducing financial accounts, and cutting unnecessary costs.

Making these changes can help improve cash flow and make retirement easier to manage. This guide will help you identify ways to streamline your life and strengthen your retirement savings by deciding what to keep and what to sell.

1. Maximize Earnings by Selling Your House

When you retire, the first thing you’ll need to decide is where you want to live. Whether you choose to relocate to a new city or stay where you are, you may want to consider downsizing as part of the process of preparing for retirement.

“Many times when people think about retirement, they think first about downsizing their house,” says Summer Broadhead, CPA, CFP, and a financial advisor. “Maybe you want to move to a one-level or a smaller house. You might want fewer stairs or less to clean and maintain.”

Selling your house and moving into a smaller one can reduce your living expenses significantly, including your costs for:

• Property taxes
• Electricity, water, and other utilities
• Yard or garden maintenance
• Household repairs

Downsizing isn’t right for everyone. It might be something you choose to do later in retirement. However, Broadhead suggests paying attention to current market conditions if you’re considering downsizing in the future.

“Downsizing may not be an immediate need, but if the market is in your favor for either buying or selling, you might want to expedite the process to take advantage of that,” she explains.

2. Turn Your Unused Furniture Into Retirement Funds

If you’re moving to a smaller house, you could be getting rid of a lot of furniture. While it’s quicker to simply drop everything off at a thrift store, if you have furniture in good condition, it may make more sense to try to sell it first.

Try listing it on sites like Facebook Marketplace. If you have a local consignment store that sells furniture, you can take pieces there, particularly if they are vintage or antique items made from real wood or with upholstery in good condition.

While you’re at it, take a look at all of the decorative objects, collectibles, sets of china, tools, and other stuff you’ve accumulated over the years. Ask yourself if you’d rather be free of some of it.

However, if you’re selling furniture, don’t expect to make back what you paid for it unless it is a very popular vintage style or brand. Secondhand buyers are, first and foremost, looking for a deal.

3. Cash In on Unused Exercise Equipment

If you’re downsizing to a smaller home, you might not have room for your treadmill and exercise bike. Even if you’re staying put, you might want to consider selling your exercise equipment and investing in a gym membership.

Belonging to a gym can keep you active and social when work no longer takes you out of the house every day. Many also offer programs beyond exercise, such as classes on nutrition, cooking, healthy aging, and more.

To keep costs down, look for a health club that offers a senior discount. Some Medicare Advantage plans even cover the cost of a gym membership through the Silver Sneakers program.1

Tip

“Doctor visits increase in retirement, so making it a priority to exercise regularly can reduce your expenses in the long term,” says Broadhead.

4. Work Clothes

If your workplace requires business dress, you have a closet full of blazers, suits, or separates that you won’t wear anymore. You might have spent a lot of money on these items of clothing. Luckily, good quality suits and separates can be sold to make back some of that money, even if they are pre-worn.

If you want to sell the clothing, you can use sites like eBay, Poshmark, or Mercari. If you have designer clothes, handbags, and accessories, you can sell them through websites like eBay or The Real Real2. If you’d rather let other people do the selling, look for a local consignment store that accepts clothing.

Fast Fact

Any clothing you are trying to sell or consign should be clean and in good condition. Don’t try to sell anything that is ripped, stained, worn out, or otherwise damaged.

5. Profitable Ways to Sell Extra Electronics

When you were working or had kids in the house, it was probably convenient to have spares of big-ticket electronics like laptops, tablets, televisions, desktop monitors, and smartphones. But once your nest is empty and you’ve retired, you probably don’t need all those electronics hanging around. You can clear some space and make a little extra cash by selling them.

Retailers like Costco and Best Buy accept some used electronics, usually paying you with store credit or gift cards.34 You can also use an online service like Decluttr, which allows you to mail in an electronic device and receive payment via PayPal or direct deposit.5

6. Convert Old Kids’ Toys Into Extra Cash

If you have an attic or basement full of kids’ toys, retirement is a good time to clear them out. (You can keep a few if you have grandkids.) Instead of tossing them, take some to a local children’s consignment store and see if you can make a little cash. Make sure the toys you try to sell are in good condition, with no broken or missing pieces.

7. Sell Unused Luggage for Retirement Savings

If you used to do lots of family travel, you probably have dozens of suitcases and other bags stored in your house. But if your kids have grown, you probably won’t ever need to use all of them at the same time. Keep a few options in different sizes. Then sell the rest at a consignment store, yard sale, or on eBay.

8. Monetize Your Unworn Jewelry

If you have jewelry pieces that you love or are particularly meaningful, keep them. But jewelry you don’t like or never wear can be worth cash.

Many jewelry and antique stores will buy secondhand pieces. You can also sell items online through websites such as Everything But The House or eBay.

Do some research before you list. Jewelry made with gold or precious gems should be taken first to an expert who can estimate its value. Even vintage costume jewelry can be valuable if it’s a collectible brand or style.

Warning

Have any pieces made with gold, platinum, diamonds, or other gemstones appraised before you sell them so you know how much they are worth.

9. Evaluate Selling Portfolio Assets Wisely

Physical items aren’t the only thing you can sell when you’re ready to retire. While you shouldn’t sell off your entire portfolio of investments, you might want to consider simplifying it.

“Some people might want to downsize their portfolio or their responsibilities,” suggests Broadhead. “If you have rental properties, for example, you might want to sell that part of your portfolio so you have less to manage in retirement.”

10. Selling a Second Car Can Boost Retirement Funds

If you had two cars so you and your spouse could commute to work, you might find you don’t need both in retirement. If you live in a walkable area or a place with good public transit, retirement can be a great opportunity to sell your second car.

Selling one car won’t just bring in a good bit of cash. Sharing a car can save you money by reducing fuel consumption, particularly if you start using other ways to get around. It will also lower your costs for:

• Car insurance
• Personal property tax
• Maintenance and repairs

The Bottom Line

Planning for retirement is an opportunity to simplify and downsize. Knowing what to let go of and what to hold onto can be a complicated and emotional process. It can also be richly rewarding, as you free yourself to transition to a very different lifestyle.

If you’re expecting to retire in the next decade, don’t wait to start making a plan. Talk to a financial advisor sooner rather than later about what that retirement will look like and what you might need to be comfortable and financially secure.

“The more you know your goals for retirement, the more able you are to identify the steps you need to take leading up to retirement,” says Broadhead. “The sooner you start planning, the more options you’ll have.”