You\u2019re probably familiar with the terms \u201cstarter home\u201d and \u201cdream home.\u201d The first is typically a small, affordable home you start with before you grow into a larger home. Eventually, most homeowners downsize, buying a smaller home for later stages in life. But have you heard of rightsizing?<\/p>\n
\u201cRightsizing a home does not define increasing or decreasing the size of your home. You are adjusting your home size to better fit your needs,\u201d says Jessica Duncan, a realtor with Better Homes and Gardens Real Estate Main Street Properties.<\/p>\n
Like the name implies, rightsizing is all about finding a home that makes sense for you at a given point in time. \u201cSometimes, this means you need a larger home or even a home with about the same square footage but a layout that better fits your current lifestyle and needs,\u201d Duncan adds.<\/p>\n
In this guide, experts weigh in on how to choose a home while rightsizing.<\/p>\n
What Is Rightsizing?<\/strong><\/p>\n When it comes to rightsizing, the definition is all in the name. It\u2019s about finding a home that is the correct size for your situation.<\/p>\n \u201cRightsizing is a process of thoughtful discernment, and you can\u2019t start too soon,\u201d says Edward Sattler of the Better Homes & Gardens Real Estate Green Team. \u201cDownsizing is just numbers, big to small, and you might not get what you\u2019d hoped for.\u201d<\/p>\n Unlike downsizing, rightsizing isn\u2019t necessarily about going smaller or less expensive. Agent Michael Yehuda of Coldwell Banker Warburg says downsizing is just a form of rightsizing. \u201cDownsizing is a specific form of rightsizing that emphasizes a reduction in physical space and possessions, often driven by simplification and financial considerations,\u201d he says. \u201cRightsizing, on the other hand, is a more comprehensive and flexible approach that involves adjusting living conditions to optimize for various aspects of life, including work, health, and family dynamics.\u201d<\/p>\n You\u2019re not losing anything, not giving anything up, when you rightsize. You gain. Rightsize is more. Rightsize is better living. You\u2019ll know when it feels right in your gut. ~ Edward Sattler<\/em><\/p>\n You might have heard the term simple-sizing being used interchangeably with rightsizing. \u201cInstead of moving to a new home and getting rid of furniture or items that no longer fit in your space, simple-sizing is the idea that you make intentional choices at home to create an easier-to-manage, more contented lifestyle,\u201d says Opendoor Real Estate Broker, Jennifer Patchen.<\/p>\n When Is It Time to Rightsize?<\/strong><\/p>\n The perfect time to rightsize your home is when you feel your living situation needs to catch up with your lifestyle. \u201cIf you are contemplating the decision to rightsize your living space, consider the lifestyle you want and how your new home can facilitate those dreams,\u201d Duncan says.<\/p>\n A 2023 survey by Opendoor shows many Americans are now prioritizing a way of life that leads to simpler living, with less clutter and square footage.<\/p>\n \u201cAccording to Opendoor\u2019s 2023 survey on simple-sizing, health concerns (57%) became the biggest factor driving their decision to simple-size, which can be especially important for seniors and retirees,\u201d Patchen says.<\/p>\n The benefits of rightsizing can be huge. While it doesn\u2019t always mean saving money, it can mean more freedom. \u201cRightsizing your home can have a huge emotional impact on your well-being,\u201d Duncan says. \u201cIt can reduce stress, free up more time, or even provide a space for everything to create less clutter in your life\u2014all three of these effects can improve your psychological well-being.\u201d<\/p>\n Rightsizing for Retirees<\/strong><\/p>\n For many, rightsizing comes at the same stage in life as downsizing. Individuals reach a point in later life when they no longer need as much room as they did to raise a family or work from home, for instance.<\/p>\n \u201cRightsizing for retirees can have many benefits, including lower payments, less maintenance expenses, or just providing a home that fits their current lifestyle,\u201d Duncan says. \u201cTheir life has changed in many ways. The kids have moved out of the house, and the need for as many bedrooms may have left with the kids.\u201d<\/p>\n Rightsizing isn\u2019t just about the need for less space. It can also be about a home that requires less attention. \u201cMany retirees dream of traveling more often,\u201d Duncan adds. \u201cRightsizing to a condo or community that includes yard maintenance, exterior maintenance, and more security over your home while traveling\u201d is attractive.<\/p>\n What to Look for in a Home<\/strong><\/p>\n As you prepare to look for a home better sized for your needs, consider not just square footage but a range of wishlist items like you might in any home search.<\/p>\n \u201cThink about the location you want to be in, the time you want to spend on maintenance, and your need to achieve these dreams,\u201d Duncan says.<\/p>\n The best advice I would give to someone looking to rightsize their home is to think about the life you want, not the life you have right now. Dream about what the day-to-day would be like and how the new home can facilitate these dreams. ~ Jessica Duncan<\/em><\/p>\n You might decide you want a smaller home within walking distance of shops and restaurants, or maybe your new retirement means you have time to maintain a larger yard or garden.<\/p>\n Sattler suggests considering how a different home might use some of your assets. \u201cHow do you want to allocate resources: your time, your money, your emotional and physical and spiritual energies?\u201d he says.<\/p>\n \u201cConsider the benefits of a quieter life: For many buyers, simplifying means moving away from the density of big cities. According to Opendoor\u2019s 2022 Hottest ZIP Codes report, one-third of people across the US said they would relocate for a lifestyle change, whether to be closer to outdoor and recreational activities or to join a close-knit community,\u201d Patchen says.<\/p>\n Similarly, purchasing a smaller home near certain amenities can be an excellent way to rightsize. Patchen says 62% of Americans say they spend more time outside on their property or near various parks following the pandemic.<\/p>\n