According to data from the Administration for Community Living, adults aged 65 and older made up 17% of the U.S. population in 2022, and that share is expected to reach 22% by 2040. As more people think about making their homes easier to manage and staying closer to healthcare, downsizing can become an appealing option.
“Downsizing is a huge life decision for many of our customers, and there are several benefits to moving to a smaller property that extend way beyond just housing costs,” says Alex Edmans, Product Director at Saga Money.
Moving into a smaller home can mean less cleaning, lower bills, fewer repairs, and more time for the things you actually enjoy. Still, giving up years of belongings and adjusting to a different space can be emotional and tiring.
A little planning can make the process much easier. These 12 steps can help you sort out your finances, belongings, new home, and move without feeling like everything has to happen at once.
Identify Your Goals
Start by asking yourself why you want to downsize.
Maybe the current house has become too much to maintain. Perhaps you want to lower your monthly expenses, move closer to family, or find a home that makes everyday errands easier.
Write down your main reasons for moving. Having those goals in front of you can make tough decisions easier later, especially when you are deciding whether a particular possession or piece of furniture deserves a place in your new home.
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Set a Budget
Before looking at new homes, take a close look at what you can comfortably afford.
Moving costs can include movers, packing supplies, closing costs, deposits, renovations, storage, and the purchase or sale of a property. According to the American Moving and Storage Association, intrastate moving costs, including a new home and professional movers, can average between $4,300 and $4,800.
Also look beyond the move itself. Compare expected property taxes, utilities, insurance, maintenance, and transportation costs in your new home. A smaller house may lower some expenses, but a location farther from work, family, or regular appointments could add new ones.
Research Your New Location
A smaller house won’t feel like a good fit if the surrounding area doesn’t work for your lifestyle.
Look into nearby healthcare facilities, grocery stores, pharmacies, restaurants, parks, public transportation, and other places you visit regularly. The Urban Land Institute has found that many older adults prefer walkable communities with convenient access to shops and recreation.
Visit neighborhoods at different times of day if possible. Pay attention to traffic, parking, noise, sidewalks, and how easy it is to get around. A neighborhood can look completely different on a quiet weekend afternoon than it does during a weekday morning.
Related: 10 Affordable Ways to Make Your Home Look More Inviting
Create a Moving Timeline
Trying to sort an entire house, sell or donate belongings, arrange movers, and pack everything in a few weeks can quickly become overwhelming.
Give yourself several months if your schedule allows. You can spend the first few weeks sorting belongings, then move on to donations and sales, followed by packing and moving arrangements.
Break the work into smaller tasks instead of treating the entire house as one giant project. A written timeline can also help family members, friends, and movers know what needs to happen and when.
Take an Inventory of Your Belongings
Before you start getting rid of things, make a list of what you own.
According to the LA Times, the average household has more than 300,000 items. That number makes it easy to see why downsizing can take longer than expected.
Go room by room and record furniture, appliances, electronics, keepsakes, kitchenware, clothing, tools, and other possessions. You may discover that you have several versions of the same item or boxes you haven’t opened in years.
A spreadsheet can make the process easier. You can use Microsoft Excel or Google Sheets to record each item and mark whether you plan to keep, sell, donate, recycle, or discard it.
Related: 15 Home Organization Tricks That Make Clutter Easier to Manage
Declutter Strategically
Downsizing doesn’t mean throwing away everything you own. It means making room for the things that still have a place in your life.
One popular rule is the 90/90 method: if you haven’t used something during the past 90 days and don’t expect to use it during the next 90, ask yourself whether you really need to keep it.
Sort belongings into four groups: keep, donate, sell, and discard. Give yourself time with sentimental items. Old photographs, letters, family heirlooms, and handmade gifts can carry memories that have nothing to do with their practical value.
If an item matters but takes up too much space, consider photographing it before letting it go.
Measure Your New Space
Don’t wait until moving day to discover that your favorite sofa won’t fit through the doorway.
Get measurements of the rooms, doors, hallways, closets, and other tight spaces in your new home. Measure large furniture before deciding what comes with you.
Floor-planning apps such as RoomScan can help you create a rough layout and see where larger pieces might fit. This can save you from moving heavy furniture twice—or paying to transport something that has nowhere to go.
Related: 13 Things You’ll Find in Almost Every American Home
Plan for Storage
A smaller home may mean giving up some closets, cabinets, or garage space.
Before renting a storage unit, decide what you actually need to store. Keeping boxes of things you rarely use can turn into an ongoing expense.
If storage is necessary, compare prices and access hours in your area. For electronics, photographs, documents, wooden furniture, or family keepsakes, a climate-controlled unit may be worth the added cost.
You can also look for storage furniture inside your new home, such as ottomans with compartments, beds with drawers, or cabinets that serve more than one purpose.
Hire Professionals
Moving heavy furniture and boxes can be exhausting, especially when you’re trying to manage the rest of the move at the same time.
Professional movers can handle much of the physical work, and some companies offer packing, furniture disassembly, and specialty services. Forbes reports that the average moving cost is around $1,400, though the final price varies based on distance, home size, and the services you choose.
Get several quotes and check reviews before making a decision. Ask about insurance coverage, extra fees, cancellation policies, and whether packing materials are included.
Notify Essential Services
Changing homes means changing your address in more places than you might expect.
Make a list of everyone who needs your new information. This can include your bank, insurance company, healthcare providers, utilities, employer, subscriptions, online shopping accounts, and government agencies.
This CNET moving guide offers a useful list of places to update.
For government records, don’t forget agencies such as the IRS and DMV. Updating everything before or shortly after the move can prevent missed bills, delayed mail, and other headaches.
Pack Strategically
Packing gets much easier when you don’t treat every box the same.
Start with things you won’t need right away, such as seasonal decorations, extra linens, books, and rarely used kitchen items. Leave everyday necessities for last.
Label each box with its contents and the room where it belongs. Color-coded labels can make unloading even easier.
Pack one separate essentials box for the first day and night. Include toiletries, medications, chargers, basic kitchen supplies, a change of clothes, important paperwork, and anything else you know you’ll need immediately.
Settle Into Your New Home
The move isn’t finished when the last box comes through the door.
Give yourself time to arrange the rooms in a way that feels comfortable. Start with the kitchen, bedroom, bathroom, and other areas you use every day. There is no need to unpack every decorative item immediately.
Once things are in place, get familiar with your new surroundings. Find the nearest grocery store, pharmacy, healthcare facilities, restaurants, parks, and other places you’ll visit regularly.
Downsizing can take some adjustment, especially after living in a larger home for many years. Give yourself time to get used to having fewer belongings and less space. The goal isn’t just to live in a smaller house; it’s to create a home that fits the life you want to live now.
