Is Downsizing Right for You?
Not everything that comes in big packages is better. For many people, downsizing is the answer to their lifestyle and financial problems. As people age, their need to cut down on expenses is a step that needs to be addressed.
Many people downsize for different reasons. Others want to purchase a smaller home to save money, while some want to live a simpler lifestyle. Some people who downsize move closer to their families or need easier mobility for work. Regardless of their primary reason, making the shift could be a tough decision to take.
This new and “smaller” home adventure could be what suits your lifestyle. While you already have a local mover in your contacts, making a move is a decision that needs to be thought through. It is essential to take time to weigh the pros and cons of moving to a smaller house. Here are things to consider when downsizing your home:
Advantages of Downsizing
Downsizing offers a lot of advantages. Sometimes, less means more. Aside from having fewer things to think about, it can also help people maintain or prioritize what matters most to them.
1. Better financial health
Many people are drawn to the idea of downsizing to save money. When one spends less on a mortgage, they have more money to allocate for other needs. You can also consider paying for a smaller home from the money you will get from selling your current home.
Aside from mortgage fees, downsizing could also mean cutting down on your property taxes due. Living in a big house in an uptown district could mean more expensive taxes. Moving farther from the city means lesser tax dues.
2. Better home maintenance
Living in a smaller space saves you time. There are fewer rooms to clean, and you will end up having more time to do other chores. Smaller homes are way easier to maintain than larger ones.
3. Reduced consumption
A smaller home means lower utility bills. You’ll have fewer bulbs to light. Your rooms will not need a lot of heating and cooling, too. You will also have to rethink buying more furniture, food, and other goods. With a smaller space, you have to rethink your hoarding habits. If there is no place for it, you will most likely not buy it.
Possible Disadvantages of Downsizing
Downsizing also has its disadvantages. It means having to let go of many things and habits that you once had when your house was bigger. It could also mean that you have to rethink many lifestyle decisions you have made in the past.
1. Settling for fewer belongings
Downsizing means having to sell a lot of items that you used to own. It could be stressful to have to fit in everything you own in a smaller space. For people with emotional attachment with their collections and other sentimental items, this could be a harsh reality to face.
2. Smaller space
Having smaller space could make one feel cramped and restricted. Moreover, it could be hard to share the same space with other family members because there are fewer rooms where you can spend a little me time. This could also mean that you can no longer host dinners, and your guests who are visiting out of town will have to rent a place somewhere near.
3. Lifestyle changes
Homeowners who are used to living in larger homes will have to change their lifestyles as they move to a smaller home. It could be comfortable and familiar living in a big house. Especially during the pandemic, having more space could be favorable for many. Abruptly switching to a new, smaller home could feel different. Moreover, living in a smaller home might not project an image of financial wealth.
Other Things to Consider When Downsizing
It is great to consider the condition of the real estate market before downsizing. Oftentimes, trade-offs offer higher sales prices for a smaller space. A good thing to consider is to weigh your options in buyer’s and seller’s markets. While it is hard to time the market, you can ask your local realtor for advice.
Another thing to consider would be to buy or to sell first. Some homes are easier to sell than others. Factors such as location, market value, and neighborhood reputation come into play when selling your home. Ideally, it is better to sell your home first before buying a new one. However, some markets would dictate otherwise. Having a clear strategy would help as you make this move.
Different people have different reasons for downsizing their homes. Downsizing offers different adventures, including financial freedom and other opportunities for growth. Still, downsizing is never an easy decision. Less could be more, but with the right intentions.