Is it time to downsize your property?

Posted on February 28, 2020

Whilst much of the property advice available both online and off relates to buying a property for more space, there may come a time when it makes better sense to downsize to a smaller home. With the UK’s growing ageing population, downsizing is becoming more of a hot topic. As a leading estate agent in the North East of England, we assist property sellers and buyers from all walks of life, including those who wish to downsize for whatever reason.

In this blog post, we reveal the reasons why downsizing is a great idea and what factors you must consider when searching for a smaller place to call home.

The benefits of downsizing

Downsizing may be a popular option for the over 55s but it remains an excellent idea for people at all stages and of all ages. With the cost of living rising year-on-year, those considering downsizing may be doing so to reduce their monthly outgoings. By decreasing the size of your property you can make significant savings on your mortgage and household bills. Energy savings alone are said to be over £500 annually when moving from a four-bedroom property to a two-bed home. Maintenance and repair costs will also be considerably less in a smaller property.

Moving to the city in search of better local amenities is another reason why many choose to downsize. Rural locations may after all be more idyllic but they don’t benefit from the transport links, amenities and entertainment options that city centre properties enjoy.

Downsizing is a great option for those looking to release equity too, particularly after retirement where many feel that they are asset rich but cash poor. By making the move from a larger to a smaller property, you can free up cash to fund the retirement lifestyle you want as well as help your family thrive.

The cost of downsizing

Whilst in the long run you will be saving money by downsizing, there are a number of costs to consider when selling your home and moving to pastures new. Stamp Duty, estate agent fees and conveyancing costs all add up. You’ll also have to foot the bill for clearance and moving if you are unable to do this yourself.

Save even more money

Downsizing the smart way means you can save money, particularly if you own your current home outright. Moving to a smaller property isn’t always cheaper though, especially if you’re looking to downsize your property in favour of a smaller one in a better location.

Considering shared ownership or part exchange can provide a more affordable downsizing solution depending your circumstances.

If you’re considering downsizing, let our estate agents help you find the best next property for your needs and your budget. Contact us today for advice.