The Advantages of Downsizing to a Smaller Home (Or Why Not to Upsize) and How to do it

Just like being lonely in a crowd, no matter how big our home is, we sometimes need our own space.

But if we had less to do, were surrounded by less clutter, had fewer financial worries, fewer material possessions, and less stress, would we need our own space less?

Downsizing your home often leads to a simpler, easier, and less stressful lifestyle and could give you the headspace you need.

However, this blog post is not just for people considering downsizing. Is moving to a 4-bedroom, 4-bathroom home worth all the extra stress and hardship so that you are unable to enjoy it anyway?

For those who are thinking they need to upsize to a bigger home, maybe these thoughts will make you rethink that idea.

You may also like to read: Moving Small Loads. Even if you are only moving a few things, moving day will still be so much easier when you hire professional movers. Find out all you need to know about moving small loads in this guide.

Why Do People Downsize Their Homes?

There are many reasons why people choose to downsize, some of the most common being:

1. Financial Freedom

A smaller home usually comes with a lower mortgage, reduced property taxes, lower insurance, and lower utility bills. Many homeowners downsize to free up equity, save for retirement, or to finance a dream.

2. Life-Changing Events

Empty nesters often find themselves with unused space once children move out. Divorce, retirement, or job relocation can also be driving factors.

3. Seeking a Simpler, More Minimal Lifestyle

People are increasingly embracing minimalist living to reduce stress and remove the burden of maintaining a large home.

4. Reducing Their Environmental Impact

Smaller homes have a lower carbon footprint, require fewer materials to maintain, and generally encourage more sustainable living.

5. Desire for a More Walkable or Urban Lifestyle

Many downsizers seek smaller homes in urban areas where they can get to restaurants, shops, and parks without having to worry about driving or parking.

You may also like to read: Eco-Friendly Home Moves. If a desire to reduce your carbon footprint is driving you to downsize your home, then you may wish to read this guide to making your home move more eco-friendly.

The Advantages of Downsizing to a Smaller Home

Downsizing isn’t about giving things up; it’s about making a conscious decision as to what we really need, and appreciating the emotional freedoms that it gives us.

1. Lower Cost of Living

One of the most immediate benefits is financial savings:

• Lower mortgage or no mortgage at all
• Reduced property taxes and homeowners’ insurance
• Decreased energy and utility costs
• Less money spent on home maintenance, repairs, and furnishings

The benefit of financial freedom and lack of financial stress is a compelling reason enough to downsize. The stress and emotional turmoil that will be relieved is priceless.

2. Less Maintenance

Smaller homes are easier to clean, maintain, and repair, freeing up your time and reducing stress. You’ll no longer need to dedicate entire weekends to yard work or house chores.

Would you rather spend every weekend mowing the lawn or cleaning the rooms you never use, or be doing things that enhance your well-being or quality of life?

3. Increased Efficiency and Functionality

In a well-designed, smaller home, every square foot counts. You’re more likely to use each space intentionally, which promotes smarter living and better organization.

4. Emotional and Mental Well-Being

Letting go of clutter and excess space can lead to a greater sense of well-being. With fewer material things to worry about and maintain, you can focus more on what matters to you, whether that be doing hobbies or spending time with family and friends.

You may also like to read: How to Save Money After Moving Home. If financial freedom is driving your desire to downsize your home, then you may also like the money-saving tips in this guide.

Smart Storage Solutions for Smaller Homes

Downsizing doesn’t mean giving up everything you love; in fact, it ensures that you are only surrounded by things that you truly love. That does mean, however, that you have to make the best use of the available space to keep those treasured items.

Here are some storage ideas for small homes:

1. Multi-Functional Furniture

• Ottomans with storage
• Beds with built-in drawers
• Fold-out desks and Murphy beds

2. Vertical Storage

Make the most of wall space using:

• Floating shelves
• Wall-mounted cabinets
• Pegboards and hanging organizers

3. Underutilized Spaces

Make use of:

• Space under stairs
• Over-door racks
• Corners with corner shelves or cubbies

4. Custom Closets

Invest in customized closet systems with:

• Pull-out bins
• Adjustable shelving
• Hanging space optimization

5. Digital Storage

Go paperless by scanning documents, switching to digital subscriptions, and storing photos in the cloud or on digital frames.

How to Decide What to Take and What to Leave

One of the biggest challenges of downsizing is figuring out what to keep. Here’s a proven step-by-step method:

1. Take Inventory

Walk through your home and list your belongings. This will help you see what’s essential, duplicate, or outdated.

2. Use the Four-Box Method

Label boxes as:

• Keep
• Donate
• Sell
• Trash

3. Ask These Key Questions:

• Have I used this in the last year?
• Do I truly love it?
• Does it serve a purpose in my new lifestyle?
• Would I buy this item again today?

4. Digitize Sentimental Items

If you’re emotionally attached to items like kids’ drawings or old letters, consider scanning or photographing them, or maybe turning them into wall art.

5. Be Honest About Storage in the New Home

Review the floor plan and storage capacity of your new place and prioritize only what fits.

You may also like to read: How to Create a Floor Plan. In this guide, we explain how to make a floor plan of your new home so that you can ensure your furniture fits in the available space.

Decluttering Before You Move

Decluttering is essential when downsizing, not just for a cheaper home move or because you will now have limited storage space, but because it is so therapeutic.

Benefits of Decluttering:

• Reduces stress and anxiety
• Simplifies decision-making
• Increases home appeal (if you’re selling)
• Boosts productivity and peace of mind
• Helps others (via donation or gifting)

How to Declutter:

1. Start Early

Give yourself at least 1–3 months before the move to declutter thoroughly.

2. Tackle One Category at a Time

Use the Marie Kondo method or work by category:

• Clothing
• Books
• Kitchen items
• Sentimental belongings

3. Use the “One Year” Rule

If you haven’t used it in the last 12 months, seasonal items aside, you probably don’t need it.

4. Sell or Donate Items

Make use of local donation centers, online marketplaces, or garage sales.

5. Avoid Storage Unit Traps

Renting a storage unit might feel like a good idea, but it’s often a way to delay decision-making and is an added expense that you don’t need.

You may also like to read: How to Declutter for a Home Move. In this guide, we suggest ways to make decluttering your home easier and quicker.

Is Downsizing Right for You?

Here are a few signs that downsizing your home may be the right move:

• You’re overwhelmed by cleaning and maintenance
• You have unused rooms or furniture
• You’re looking to cut expenses or retire
• You crave a simpler, more manageable lifestyle
• You want to relocate to a more convenient or exciting area

Downsizing isn’t just about moving into a smaller space; it’s part of a strategy to lead a more focused life.

By reducing clutter, financial stress, and unnecessary worries, you gain more time to focus on what truly matters, and that enhances your quality of life.

You may also like to read: Moving After Retirement. Many people look to downsize their homes after retirement, and in this guide, we look at the pros and cons of making that move.

Would you rather have an unused bathroom or bedroom, or the time, money, and feeling of well-being to do things that will really make a difference to your life?

Good luck with this next chapter of your life, and be sure to check out our home moving blog for guides to make every aspect of your home move easier, cheaper, and safer.