Downsizing or buying a smaller house is a big decision to make, especially if you have been used to living in a large, spacious home for so many years. Not a few homeowners, however, are taking this route, and that's for a variety of reasons. But is moving to a tiny house the right choice for you?

Statistics from the United States Census Bureau show that the median size of a single-family house in 2018 was at 2,386 square feet. That size is almost double the average size of new single-family homes in the 1950s.

Am I ready to move to a tiny house?

Yet, despite the homes getting bigger, many would still like to move into a smaller home. But why would they want this in the first place? What are the advantages and disadvantages of downsizing?

To be able to determine what motivates homeowners to downsize, a survey showed reports saying that 1,000 homeowners who had chosen downsize their homes. Some of the reasons include: saving money, having less space to maintain, and reducing clutter and stress. These are the things that you need to consider before deciding to move to a tiny home.

Benefits of Downsizing

Here are some of the benefits you would likely reap if you decide to downsize your home:

1. Save money by reducing costs

The most obvious benefit of downsizing is savings on your monthly mortgage payments. Smaller homes carry relatively smaller mortgage payments. Depending on the location of your new home, your property taxes and insurance cost would likely be reduced as well.

2. Save on utility bills

Moving into a smaller home would mean you could also cut down on your utility and maintenance costs. The less space and fewer rooms you have, the less you spend cooling down or heating up your home.

3. Savings for Retirement Fund

It is but wise to think about and prepare for your retirement, even if that is still 20 years into the future. You could use the extra money from the sale of your house for your retirement or maybe spend some of it to travel with the family.

4. Reduced stress

Imagine the amount of stress you will offload your shoulders with a smaller house. When you downsize, there is less space to manage, which will free up more time for you and put less strain on your financial resources.

5. Reduced clutter

By moving into a smaller home, you get rid of the clutter and bring in just the essentials. That also means you will be less likely to buy stuff like furniture and accent pieces just to fill the extra spaces, as you would with a bigger house.

Disadvantages of Downsizing

Of course, there are a few trade-offs to downsizing. The following are two of the things you may want to consider before you decide to move into a smaller home.

1. Small to no room for guests

Your new home may not have enough room for guests or no extra room at all. So hosting elaborate parties, family gatherings, and events will no longer be practical. However, you may opt to rent a space to make hosting these events possible.

2. Adjusting to a new lifestyle

If you have been used to living in a large home, adjusting to your new home may take a while. One major reason is that your lifestyle will dramatically change, including the way you shop for things or entertain your guests.

There certainly are benefits to downsizing your home, as well as things you will need to let go or disadvantages that you will have to live with. But the size of the house should not matter as long as it "feels right" and you are comfortable and happy living in it.