Should You Downsize? Let’s Look at the Pros and
Cons.
Have you ever considered downsizing – or buying a smaller house?
People downsize their homes for many reasons, but often it’s for the
cost-savings aspect. Homeowners whose children have moved out or who have
retired sometimes find themselves in spaces too big – and opt to find a smaller
place. Others are looking to simplify their lives and save money. Whatever the
reason, there are pretty clear advantages and disadvantages to downsizing your
home.
Let’s look at the pros and cons of downsizing your current home
in each of these categories. Depending on your reasons for making this move,
you might realize the cost (emotionally or financially) just isn’t worth it. Or
you might find you’re ready to enjoy the benefits of a simpler, less expensive
life.
The Cost
Pro: You’re About to Save a Lot of Money (Probably)
The advantage of downsizing here is pretty straightforward: Your
smaller home will almost certainly cost less than what you’ll sell your current
home for, which offers plenty of leftover equity. If your home isn’t currently
paid off, your new mortgage payments will also be lower. You’ll be able to reap
the benefits of lower living costs almost immediately.
Pro: Energy Savings Are Coming
It makes sense, right? A smaller home will cost less to light,
heat, and cool. In addition to enjoying lower monthly mortgage payments (if you
don’t pay the new house off outright), you’ll be delighted by lower energy
bills.
Con: Moving is Expensive!
Now, there is a disadvantage here – and that’s the cost of
moving. Maybe it’s been decades since you last moved, so I’ll just remind you:
Moving is expensive.
There are always hidden costs, and you might need to put some money into your
new home right away.
The Time
Pro: Less Home = Less Home Maintenance
You’ll spend less time on house upkeep now that your total
square footage is smaller. Consider not just significant projects (plumbing
repairs to multiple bathrooms, updating the flooring in larger spaces) but the
day-to-day work. Vacuuming, dusting, mopping, and tidying will take much less
time.
The Space
Pro: You Have the Opportunity to Downsize Your Belongings, Too.
To prepare for your smaller house, you’re going to get to go all
Marie Kondo on your clothes, books, DVDs, furniture, artwork, and all your odds
and ends. You’re going to be living a simpler life by default since you’ll have
no place to put everything. Take advantage of this by selling items you’re
parting with to turn junk into cash.
Con: You Need to Downsize Your Belongings, Too.
Yes, this one can be both a pro and a con depending on the type
of person you are. If you love collecting furniture and creating different
house areas, a smaller house will feel stifling. If you have a sentimental
attachment to several belongings, you’ll have trouble parting with them. And if
you’re a fashion collector, you run the risk of turning every nook and cabinet
into a makeshift closet.
Con: Where Are You Going to Put Everything?
Even if you’re thrilled to part with belongings that have been
collecting dust or taking up space for years, you are going to be dealing with
a problem in your smaller house. There will be far fewer storage spaces for the
items you don’t need year-round: Holiday decorations, warm or cold weather
clothes, spare bedding or towels… the list goes on. Space will be at a premium,
so you might struggle to find a place for everything in the new
house.
The Lifestyle
Pro: If Togetherness is a Priority, You’re in Luck!
Smaller homes can be transformed to feel cozy and inviting in a
way larger spaces just can’t. If entertaining small groups is your thing,
you’ll love how intimate a smaller living area can feel. Your family can also
enjoy spending more time together in communal living areas.
Con: If Togetherness Ain’t your Thing, This Might Be a Problem
Conversely, smaller houses can feel cramped if you’re used to
larger, open areas. You and your family won’t be able to spread out as easily
when the shared living spaces are smaller. People in your household might feel
like they don’t have their own space to relax, and entertaining crowds might be
downright impossible.
Con: The Adjustment Is Real
Moving isn’t just financially draining. Living in a new house in
a new neighborhood with new neighbors and amenities can be stressful and
emotionally draining. Keep in mind that you’ll have an adjustment period where
you might doubt your decision or wish you were back in your old house. You
might have a hard time letting go of the home you raised your family in, lived
for years, and made memories. Don’t discount this when making plans to
downsize.
So… Should I Downsize?
Ultimately, you have to make the choice that is right for you
and your family. If you’re retiring or empty nesting, a smaller house might be
perfect for your current lifestyle. If you’re looking to simplify your life –
fewer belongings, less unused space, bigger financial gains – then downsizing
is the way to go. Consider all the pros and cons before making your decision to
make sure a smaller house is right for you.
