Downsize Your Living Arrangements

When I talk to clients in Florida about the current real estate market, a common concern lies in the soaring housing costs that most of us are seeing take place at a national level. This worry is especially common among clients who have raised families and have seen their children go off to college or pursue careers: Suddenly, a sizable house on a big lot seems like a lot more trouble than it is worth.

It isn’t just “empty nesters” who have this problem however. Increasingly, younger buyers are struggling to keep up with the real estate market. When you factor in things like mortgage costs, taxes, and the sheer expense of maintaining a large property, in fact, it is clear that oftentimes downsizing is simply the right move for individuals at any stage of life.

Admitting this fact to ourselves can sometimes be difficult: In the United States, we tend to think of large homes as status symbols; yet these homes are increasingly difficult to afford or maintain even when we’re at the crest of our careers. And the stress of paying out thousands of dollars per month in bills can truly play havoc with our health.

For this reason, I often tell my clients that downsizing our expectations with regard to real estate purchases can work wonders on our sense of well-being. At the end of the day, smaller homes are quite simply more affordable and easier to maintain; moreover, such houses won’t leave us stressed out every month. Neither do we have to live in a wealthy neighborhood to be happy; in fact, the stress of “keeping up with the Joneses” in a wealthy area is something that nobody needs: Maintaining a house doesn’t have to be a competition with the neighbors!

My advice to these clients is usually the same: I tell them that it is possible to compromise on certain wants out of the housing market to achieve one’s actual needs. In many respects, to wit, a small but beautiful home can be a more satisfying purchase than a sprawling but uncomfortably large house. And as you might expect, smaller homes are far easier to upgrade than large houses: Revamping a small home to create a dream property is a far easier and far cheaper proposition than upgrading a massive home to reflect our sense of style.

So if you’re looking at moving into a new house, take time to consider what you actually need in a real estate investment. Do you need a mansion to be happy in life? Do you have to live in a neighborhood where property taxes are as expensive as a mortgage to feel as though you’ve made it? Or are these things superfluous to your true needs?

You may in fact find that living in a mansion is a nice fantasy but an extraordinarily stressful reality; conversely, you may find that a small yet charming property brings you fulfillment, joy, and far less stress than a large home. And oftentimes, the sale of a larger home can provide you with a significant down payment on a smaller house; this can certainly take away considerable worry from the process.

However you decide to proceed, understand that buying a house is by its nature a stressful endeavor. But downsizing can help simplify your life in ways that can make homeownership a breeze. In today’s market, that kind of simplicity alone can bring us a lot of happiness and free us up to focus on things that we truly enjoy. That kind of happiness is truly priceless.