There are several advantages to downsizing your home. With that said, there are also several disadvantages. In this article, we will explore both options and help you better understand the different reasons why someone may chose to purchase or rent a smaller home.
One of the main advantages in downsizing is for the mortgage payment purpose A smaller mortgage payment means more money left over to do the things you've always wanted to do. You may even be able to pay cash for a smaller home from the proceeds of your current home? Either way the increased cash flow can make a huge difference in your everyday life. Homeowners that are able to downsize successfully seem to live happier lives not having to deal with the demands of a larger home. A smaller home with smaller spaces will open up more time for relaxing and enjoying your day versus spending hours cleaning and maintaining. You can also keep a clutter free home. If there's less space to put things you will most likely not spend the money to buy them. If there is less square footage it will also cost less to heat or cool the home. If you're trying to go green, reduced utility use is better for the environment.
Moving into a smaller home also comes with its disadvantages. There may be space issues. Do you already have a hard time finding room to store your personal proeprty? Now you may have to part with some of your marriages that used to fit into the larger home. If there is an emotional attachment this may be hard to do. You may also have a hard time with feeling cramped and having a lot less privacy. What if you find that you have less space for visiting guests. If you're used to hosting friends and family over the holidays, you may not have room to accommodate them. Although nobody wants to admit it, there is a certain amount of weight given to how you are perceived by others. You may want to maintain an appearance of a certain level of success and a smaller home that can potentially project a different image.
Downsizing is definitely a lifestyle change that you should be prepared for. Do your research and be sure that you weigh the pro and cons in your particular situation. This will be the home you possibly retire in. Make the right choice.