Should You Downsize Your Home?

When it comes to downsizing your home, sometimes less means more. Many Americans are opting to cut out all of the clutter by downsizing their home.

There are many benefits to downsizing, such as extra cash, less maintenance, less debt and reduced consumption. However, it’s important to also be aware of the disadvantages.

Here is a list of advantages and disadvantages of downsizing your home.

Advantages of Downsizing Your Home

Extra Money

If you downsize your home, it can save you some extra money. A smaller, less expensive home means that your mortgage will be smaller too.

Since you will be downsizing, you may be able to save on heat, which means cheaper utility bills.

All this extra money can be used for various reasons, whether you want to go on vacation or pay off your student loan debt, the choice is yours.

Less Debt

All of those extra savings from downsizing could give you enough to pay off your mortgage and other debts sooner. Paying off your loans sooner will also save you from paying interest.

Putting the money you save on housing to work can pull you out of debt altogether.

Less Maintenance

Downsizing means less maintenance. A smaller home requires less upkeep, giving you more free time to spend your day on things that matter the most to you.

You will also be saving money. Not having the burden of a long maintenance to-do list will probably make things less stressful, too.

Reduced Consumption

A smaller home can go a long way in reducing consumption and saving energy. Not only do you get to save money on your utility bills, but downsizing lessens the harmful impact on the environment.

A smaller home probably does not offer a lot of space. If there is no place to put it, the less likely you will buy it. This means you can save money and help the environment by acquiring less clothing, food, and consumer goods.

Disadvantages to Downsizing Your Home

Fewer Belongings

Moving into a smaller home may require selling or giving away some of your personal belongings. Downsizing means less space for storage. This may not appeal to those who rather not throw away their stuff.

No Room for Guests

Hosting a huge holiday dinner might be out of the question if you downsize your home. Out-of-town guests might need to stay at a hotel when they come to visit.

Space Restrictions

Some homeowners report feeling cramped because there is less space in which to maneuver. It’s hard to get away from other family members and enjoy private, quiet time because there are fewer rooms to escape to when needed.

Appearances

Sometimes, appearances are most important to homeowners. Those who like to invite their colleagues or friends over, a smaller home might not seem like the best option. 

Changes

Downsizing means changing your lifestyle, and some people don’t like change.  There is a certain comfort level obtained by staying with what is familiar.