Does Downsizing Your Home in Lakes Region Make Sense?

Couple downsizing to smaller home

There are many things to consider when planning to sell your home to downsize into a smaller residence. Perhaps you’re in a home that was perfect for raising a family, but now you find yourself in an empty nest. In other situations, you might be in a large older home with inadequate insulation that needs considerable upgrading. Another example could be that you just simply want to scale down from high mortgage payments, taxes, and expensive maintenance costs to a more affordable smaller home with lower maintenance or even sell your larger, expensive home and purchase two smaller homes or condominiums in the Lakes Region and the second one in Florida or Carolina’s.

We all go through those decisions, and sometimes choosing a smaller, more affordable home can leave you with more money for other financial goals such as traveling, saving for retirement, building an emergency fund, paying off debt, or paying children’s or grandchildren’s college tuition.

Research performed by Retirement Move indicates the perfect age to downsize is 64. However, so many circumstances could broaden this age bracket statistic. You might not just walk away with more money but also simplify your life and reduce your home maintenance and utility cost for years to come. There are many things to consider when planning to sell for financial reasons; here are a few examples:

  • Tax rates fluctuate from town to town. For example, based on the property tax rates from 2021, selling a $500,000.00 home in Plymouth with a property tax rate of $30.49 and moving to Bridgewater with a tax rate of $8.27 would amount to a tax savings of $11,110.00 per year. That’s $333,300.00 in potential savings over the life of a 30-year mortgage. Keep in mind the savings will be even greater if you downsize to a smaller home at a lower tax assessment.
  • If you’re in an empty nest. You are not only paying taxes on your empty nest, but you are insuring the now extra space and paying to keep warm for winter with home heating oil and electricity at an all-time high. The potential savings from downsizing can add up quickly and can often offset other financial factors, such as rising interest rates.  
  • Maybe you are in an older home with inadequate insulation, and it costs a fortune to heat. Especially now with the price of home heating oil on the rise and electric rates have doubled. Moving from an older home to a more modern home that is built to today’s construction standards will provide you with more energy efficiency that could save you a bundle. 
  • If you still have a considerable mortgage with high taxes, you might be in a position to pay off your mortgage, get rid of those high taxes, and pay cash for a smaller home. Less debt or no debt is always good. Maxing out debt to income ratio on a home is a recipe for disaster.
  • Smaller homes encourage more family bonding, and it forces families to remove more baggage and lessen the temptation to accumulate. Remember simplify! Why collect all sorts of furniture, collectibles, clothing you haven’t worn in years, decor, and junk you don’t need? You might be shocked at how much you have accumulated over the year! Start throwing things away, donate to charitable organizations and give items of value and sentiment to family members.
  • Smaller homes are easier to maintain, you spend less time decluttering them, they are less expensive to operate, living small means you incur less debt and less risk, and owning a small home is mentally freeing — the bigger the house we own, the more the house owns us, this can result in a lot of wasted mental energy where we’re held hostage to everything we own. So… buy small and free your mind!
  • You free up more time…less cleaning, less maintenance, less taxes, smaller mortgage, lower utility costs, less stress, and most importantly, it allows you to free up more time to pursue the things in life that really matter.

So, to summarize some of my thoughts on downsizing:

  • Less is more — yes, it’s true that a smaller home does have less storage… I recommend having a garage sale.
  • So, I guess I get to one of the best attributes of all… smaller homes are in a wider market to sell. It’s affordable to a larger percentage of the population than a more expensive, less affordable one.

With the rising cost of everything from food to gas, countless American families are struggling to make ends meet. Stretching a budget too thin can make families have no choice but to buy groceries for their family or pay bills on time. Unfortunately, this is becoming more and more common. However, selling may not be the best option for everyone’s situation.  

If you currently own your own home and wish to sell, be it to downsize, save on energy, or just cash in on your home equity to pay off debt. It’s a great time to see what your home is worth in today’s market. Sellers are finding out that selling in today’s market can be as life-changing as winning the lottery.  

Feel free to call me anytime for real estate advice and a Current Market Analysis on your property’s value or to discuss what options may work best for you.  

Tucker McDonough is a Lakes Region, NH Realtor / Sales Associate at Roche Realty Group in Meredith NH.This article was written by Tucker McDonough of Roche Realty Group. Tucker can be reached on his cellphone at 603-530-2026 or by email at Roche Realty Group has offices in Meredith and Laconia, NH, and can be reached at (603) 279-7046 or (603) 528-0088. Please feel free to visit to learn more about the Lakes Region and its real estate market.


How Marketing Real Estate Has Evolved

Back in the year 2000, the world was at the beginning stages of a major …

Read More →
Mount Washington, New Hampshire

New Hampshire — 30 Reasons to Move Here!

With lakes, beaches, mountains, forests, rivers, and the ocean for people who enjoy the outdoors, …

Read More →
New Hampshire Ski Resort

Ski Resorts in New Hampshire Are Ready for Spring Skiing!

It’s been a good week, and mother nature hit our region with a blanket of …

Read More →
Market Trends

Real Estate Market Trends to Follow

I’ve been pulling up some current research on the real estate market on a national, …

Read More →
Carol Mattice

Roche Realty Group Welcomes Carol Mattice

Meredith — Frank Roche, President of Roche Realty Group, Inc, with offices in Meredith and …

Read More →
Kevin Shaw - Roche Realty Group

Kevin Shaw of Roche Realty Group is Top Producer for 2022

Laconia— Frank Roche, president of Roche Realty Group with offices in Meredith and Laconia, recently announced …

Read More →
Lisa Lewis

Lisa Lewis Joins Roche Realty Group

Meredith — Frank Roche, President of Roche Realty Group, Inc, with offices in Meredith and …

Read More →
Wanda Keenan

Wanda Keenan Joins Roche Realty Group

Meredith— Frank Roche, President of Roche Realty Group, Inc. with offices in Meredith and Laconia, …

Read More →
Land for sale

Buy Land in New Hampshire — They’re Not Making it Anymore

The science is in and the more trees a state has, the happier and less …

Read More →
The Price of Real Estate

Did The Price of Real Estate Increase in Your Town?

Everyone’s always interested to see how their real estate values have performed over the past …

Read More →
Laid off employee in recession

Are We Headed into a Recession?

It’s pretty big news lately; Microsoft, Amazon, and other tech companies have laid off more …

Read More →
Price Reduced

2022 vs. 2021 — Is The Lakes Region’s Frenzied Market Over?

It’s that time of year to provide all of you with an update on real …

Read More →
Roche Realty Meredith

Roche Realty Group Reports a Record of $181 Million in Sales

               Meredith- Frank Roche, President of Roche Realty Group, Inc, …

Read More →
Hillside Inn Winter

12 Things To Get You Through The Winter Months

On December 21st, the winter solstice marked the start of when days will begin to …

Read More →
Housing Inventory Lacking - Lake Winnisquam, NH

Lake Winnisquam, NH’s 4th Largest Lake is in Strong Demand

There are literally 273 lakes, ponds and rivers to enjoy in New Hampshire’s Lakes Region. …

Read More →
Interest Rates

Will We Ever See 1980s Interest Rates?

I was with a Realtor® friend of mine this past week, and we discussed what …

Read More →
Hikers overlooking the lake in New Hampshire, voted "Best State to Live in America" in 2020.

Squam Lake — a Lakes Region Treasure

This past summer, I was invited for lunch and a nice boat ride around Squam …

Read More →
Shop Local New Hampshire

Small Business Saturday in New Hampshire!

We have many things to be thankful for here in New Hampshire, plenty of natural …

Read More →
Couple downsizing to smaller home

Does Downsizing Your Home in Lakes Region Make Sense?

There are many things to consider when planning to sell your home to downsize into …

Read More →
Newfound Lake, New Hampshire

Newfound Lake is the 8th clearest lake in US

Newfound Lake is the 8th clearest lake in the United States New Hampshire has a …

Read More →
Echo Lake New Hampshire

New Hampshire Rankings are Impressive!

New Hampshire has always been fortunate to land in many of the country’s top 10 …

Read More →
Lakeside at Paugus Bay

Impressive New Construction in the Lakes Region

For new construction sales in New Hampshire’s Lakes Region, 2022 has shown very impressive results. …

Read More →
Inflation and housing prices

How Inflation Impacts Lakes Region Housing Prices

I was out with a friend this week on Squam Lake, and we were talking …

Read More →
Picture of author in the Grand Canyon

Is Lake Region Real Estate Drying Up Like The Southwest?

I just returned from a trip to Nevada, Arizona, and Utah this past week. Put …

Read More →
Brook Hill at Meredith: New luxury homes in Meredith, NH

Brisk Sales at Brook Hill in Meredith

Meredith— Sales at Brook Hill, a new luxury townhouse community in Meredith, have been exceptional …

Read More →

Impressive Sales at Lakeside at Paugus Bay

Laconia— Sales at Lakeside at Paugus Bay, a new luxury waterfront condominium community on Lake …

Read More →

Four Decades of Change in Lakes Region Real Estate

We were talking in the office the other day regarding how much the real estate …

Read More →
Supply and demand graph, real estate housing

The driving forces in the demand for NH housing

It is no secret that our country has seen some incredible growth in the real …

Read More →
Holderness, NH

Holderness Bridges Big Squam and Little Squam

Holderness is a lakeside community in the foothills of the white mountains on New Hampshire’s …

Read More →
high inflation

Energy & Ukraine Crisis Compared to 1970s Inflation

Russia’s invasion of Ukraine has emerged as a black swan event rattling the world during …

Read More →
Tilton, NH

Tilton — The Gateway to New Hampshire’s Lakes Region

Tilton, New Hampshire, is considered the gateway to New Hampshire’s beautiful Lakes Region because of …

Read More →
Map of USA: How Real Estate Trends affect the Lakes Region

How Real Estate Trends Affect the Lakes Region

New Hampshire’s Lakes Region & New Hampshire Can you believe a new analysis from Zillow …

Read More →
Laconia NH

Laconia, NH — A City on the Rise

The 17,000 resident “City on the Lakes” is nestled on the shores of three of …

Read More →
Two ice sailing enthusiasts on Lake Winnipesaukee.

Waterfront Sales Activity and Real Estate News

Here’s an update on the waterfront sales activity that we experienced over the past two …

Read More →
Tuftonboro, NH

Tuftonboro — “The Diamond in The Heart of New Hampshire”

Located just west of Wolfeboro, Tuftonboro is called “The Diamond in the Heart of New …

Read More →
Aerial view of Lake Winnisquam and Sanbornton, New Hampshire

The Rural Character of Sanbornton, New Hampshire

Sanbornton embodies all that one expects to find in an old New England town. This …

Read More →
Castle in The Clouds is one of Moultonborough's largest attractions.

Moultonborough’s 66 Miles of Shorefront Captivates

By landmass Moultonborough, NH is the largest lakefront community in the Lakes Region with 59.7 …

Read More →
Kevin Shaw - Roche Realty Group

Kevin Shaw of Roche Realty Group is Top Producer for 2021

Laconia— Frank Roche, president of Roche Realty Group with offices in Meredith and Laconia, recently …

Read More →
Wolfeboro, NH — The Oldest Summer Resort Town In America

Wolfeboro, NH — The Oldest Summer Resort Town In America

Wolfeboro: a Brief History Nestled in the foothills of the White Mountains and on the …

Read More →

Roche Realty Group Reports Record of $170 Million in Sales

Meredith- Frank Roche, President of Roche Realty Group, Inc, with offices in Meredith and Laconia, has …

Read More →
Meredith NH

Gilford and Meredith NH – How Do They Compare?

There are 25 towns and cities comprising the Lakes Region. This week I thought I …

Read More →

EM Heath, LLC Acquires 1084 Union Ave in Laconia

The future of Ace Hardware EM Heath LLC in Laconia became solidified this past week …

Read More →
Roche Realty Group Sells Landmark Commercial Building in Gilford, NH

Roche Realty Group Sells Landmark Gilford Commercial Building

Gilford- One of the most visible, historic landmark commercial properties in New Hampshire’s Lakes Region …

Read More →
New Commercial Constructioin in Lakes Region

Commercial Sales Increasing in the Lakes Region

Recently I’ve been outlining the sales activity for residential, waterfront, and multi-family apartments in the …

Read More →
Laconia NH Commercial Building Sale

New Owner for 8,447 Sqft. Commercial Building in Laconia

Laconia— Exciting news for the downtown Laconia district. Another substantial commercial building, including approximately 8,447 …

Read More →

Strong Demand for Multi-Family Apartments in NH’s Lakes Region

Last week I was driving through Loudon Road in Concord in the busy heights area, …

Read More →
NH Lake

Area Lakes Show Considerable Appreciation

Below you will find data and insight into what’s happening in sales activity on 8 …

Read More →
inflation in shopping center / grocery store

More Inflation Concerns

More Inflation Concerns I submitted an article a while ago titled “Is Our Current Inflation …

Read More →
Alpenrose Village Retail Center located at Rte. 11 B / Rte. 3 in Weirs Beach, Laconia

Roche Realty Group Sells Alpenrose Village Retail Center

Laconia, NH – Tom Drouin of Roche Realty Group in Meredith represented both the seller and the …

Read More →
As the Real Estate Season Turns

As the Real Estate Season Turns

“There’s hope for buyers on the horizon, with more real estate opportunity to come.” This …

Read More →

Leave a Comment