6 Signs That You’re Ready to Downsize to a Smaller House

by Dusty Rhodes on Sep 27, 2023  in 
  • Real Estate
  • Downsizing
  • Portable Storage
  • affordable moving

For many Americans, making the decision to downsize their home can be tough. After all, their home is filled with memories and has been their respite for so many years. Change is never easy, especially when you’re older and enter retirement. Though many people struggle with the idea of letting go of their larger family home, downsizing can come with a number of benefits. It can save you money, decrease responsibility, and make life easier and more convenient. Downsizing can also make it easier to relocate to another city if you want to be closer to family or friends. If you’re wondering if the time has come for you to downsize your home, here are six signs that the time is right.

1. The Maintenance is Too Much

Maintaining a large house can be a lot of work. Between lawn care, cleaning, and standard maintenance, the upkeep can be overwhelming. As you age, these tasks may become even more difficult. It is also costly to maintain a large home, especially if you hire someone to handle maintenance or other services. Downsizing your home can take some of this physical and financial burden off your shoulders.

2.  You’re Struggling Financially

As stated before, owning and maintaining a large home can be very costly. Mortgage payments, taxes, utilities, and maintenance expenses are all higher on a larger home. If you are struggling to make ends meet, downsizing your home is a great way to put extra money in your pocket. A good rule of thumb is to spend no more than 30% of your income on housing a month, so if you’re suddenly dipping into your savings to get by, a smaller house might be a better option.

3. You’re Not Using Most of the Space

If your children are grown and have moved out, you may be paying for a great deal of space that you aren’t using. All of those empty bedrooms may be costing you money even though they are just collecting dust. Even if your home is paid off, you could still be paying a hefty sum in property taxes, homeowners insurance, utilities, and maintenance.

4. You’re Never Home

Right now, people have more flexibility than ever before. Many people can work from anywhere, freeing up time to travel or visit family members in other locations. The same is true for retirees who spend much of their time traveling. If you’re on the go all the time, downsizing might be a better financial decision for you. After all, why spend all that money on a house you are barely spending time in? Downsizing can cut costs and free up money for all your travels.

5.  You are Retired or are About to Retire

Retirement is one of the most common reasons for downsizing your home. Downsizing allows you to cut expenses and create more income by moving into a smaller, more affordable property. In addition to lowering your monthly mortgage, it will likely reduce your property taxes, utilities, and home insurance as well.

6. The Market is Right

For most people, buying a home is the biggest investment they will make so now could be the perfect time to get the biggest return on your investment. If your home’s value has appreciated and the seller’s market is booming, you could end up making quite a lot of money by selling your home. The money you make could then be used to purchase a smaller home

Dusty Rhodes