Downsizing in times of recession


Picture of two houses of different sizesDownsizing your home was once the preserve of “empty-nesters” who no longer needed so much space due to their children having left home. However, during these more austere times, it is considered a sensible option for a wide cross-section of people.

After all, as well as having fewer rooms to clean, a smaller garden to maintain and almost certainly, smaller annual household bills, downsizing in times of recession can create a profit that can be used as a welcome cash injection to improve your quality of life. In times of recession we can all do with a little extra cash!

Reasons to downsize

With the UK in recession and university costs having risen, parents and students are finding it difficult to meet the financial obligations of higher education. Likewise an increasing number of people are considering downsizing in a bid to reduce their day-to-day living costs and to ensure they have enough set aside for a rainy-day.

The pros and cons

Those who downsize often end up feeling liberated from the tyranny of household chores, upkeep, big heating bills and large gardens, according to a study. On the downside, some families might be concerned that if they go through with a downsizing project, they would struggle for space in which to keep their possessions. If you fall into that category, maybe you would consider using Space Centre Self Storage to store some of your larger items

Something else to bear in mind is that moving home can be a very costly exercise, once the estate agent’s fees, legal costs and stamp duty have been taken into consideration.

In some cases this can drastically reduce the amount of cash that downsizers were expecting to make on the transaction.

Potential sellers need to spend time working out their costs before committing themselves to a move, and ask some key questions: will we have room for our belongings? Are we going to miss the extra space? Will we suffer financially over the longer term?

Finding a better deal

If you are downsizing, work out exactly how much money you want to walk away with from the transaction in order to get an idea of the price range of the properties you could be interested in.

Visit property website www.rightmove.com and keep an eye on local newspapers covering the areas in which you are interested, to see what’s happening. You could also chat with local estate agents. Make sure you bargain hard. The more you can get for your property, the more you will have to spend or invest. Unless you are desperate for a quick sale, it’s worth holding out to get the very best price.

If you are downsizing and moving in or close to the North Bristol or Gloucestershire area, maybe you will require storage. Why not give us a call at Space Centre Self Storage to discuss the possibility of putting some of your belongings into storage.

You could also let us know what you think of downsizing or share with us your experience of having moved to a smaller property by posting your comments below.