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.

winter Snowmobile

Real Estate in a Winter Wonderland

As I drove around the other day with my kids, I was looking at some ...
Read More →
Roche Realty Group Host Annual Toys for Tots Drive, Invites Community Participation

Roche Realty Host Annual Toys for Tots Drive

As the holiday season approaches, Roche Realty Group is excited to announce the kickoff of ...
Read More →
Small Business Saturday New Hampshire

Small Business Saturday: Living Gratefully in New Hampshire

We have so many things to be thankful for here in New Hampshire: plenty of ...
Read More →
Annie Brown Joins Roche Realty Group

Annie Brown Joins Roche Realty Group

Meredith — Frank Roche, President of Roche Realty Group, Inc., with offices in Meredith and ...
Read More →
Gunstock Mountain in Gilford, NH

Gunstock Upgrades for Winter as Real Estate Shows Resilient Growth

As the leaves of New Hampshire’s forests transition from the vibrant hues of fall to ...
Read More →
Preserving New Hampshire's Lakes

Preserving New Hampshire’s Lakes: A Community Effort

With over 250 lakes and ponds throughout New Hampshire’s Lakes Region, there are unlimited outdoor ...
Read More →
Home Inspections — The Uninspected Abode: A Spine-chilling Tale of Regret and Terror!

The Uninspected Home: A Spine-chilling Tale of Regret and Terror!

One night, not many years ago, in a quaint, somber town nestled amidst the haunting ...
Read More →
Interest Rates

Interest Rates Impacted by Treasury Yields

It looks like the national picture for housing stats has not improved in recent months; ...
Read More →
Local Housing Crisis: Challenges and Solutions

Local Housing Crisis: Challenges and Solutions

Our communities are facing a shortage of both residential and commercial properties, a scenario that’s ...
Read More →
Fall Splendor In New Hampshire

Fall Splendor in New Hampshire

New Hampshire in the fall is akin to stepping into a live canvas painting — ...
Read More →
Samoset Condominiums on Lake Winnipesaukee

Condominium Sales Surge in New Hampshire’s Lakes Region!

As we start entering October’s bright fall colors, I thought I’d take a look at ...
Read More →
Empowering your offer

Empower Your Offer in a Sizzling Real Estate Market!

As a seasoned real estate professional, I often consider the market conditions to keep myself, ...
Read More →
Reviews of New Hampshire's Lakes Region

Reviews of New Hampshire’s Lakes Region

We’ve had a great summer in New Hampshire’s Lakes Region, and we’re approaching the brilliant ...
Read More →
Waterfont Sales Activity Wolfeboro, New Hampshire

Waterfront Sales Activity in the Lakes Region

As we head into September, I have compiled data and insight into what is happening ...
Read More →
Labor Day Weekend

Labor Day Weekend in The Lakes Region

Labor Day Weekend has arrived, and the weather forecast for the Lakes Region looks fantastic, ...
Read More →
Interest Rates

The Mortgage Interest Rate Dilemma

This past week, we saw an increase in mortgage rates following a rise in bond ...
Read More →
Best State To Live In — New Hampshire at #3

New Hampshire 3rd Best State To Live In!

WalletHub just released its rankings of the best state to live in for 2023. It’s ...
Read More →
City/Town Comparison can make the research process easier

City/Town Comparison For Your Move

Some studies place moving to a new location as one of the top ten most ...
Read More →
New Hampshire Real Estate Lacks Inventory

New Hampshire Real Estate Inventory Crisis

A Multifaceted Analysis of Rising Interest Rates and Beyond New Hampshire is currently facing a ...
Read More →
Peaks of New England

Exploring the Peaks of New England

In my younger years in school, I always loved geography. Living in New Hampshire, there ...
Read More →
Climate Exodus: Insurance Companies Seeking Refuge from High-Risk Sates

Climate Exodus: Insurers’ Fleeing High-Risk States

Flooding, Forest Fires, Heat Waves, Tornados, oh my! The recent stretch of weather has certainly ...
Read More →
Real Estate News Headlines - Lakes Region NH

Real Estate Tidbits to Consider

Here are a few real estate tidbits I’ve pulled to keep you up to speed ...
Read More →
Roche Realty Group Sells out Lakeside at Paugus Bay

Roche Realty Group — 6 Months in Review

Closed sales for the first 6 months of 2023 have been impressive at Roche Realty ...
Read More →
Newfound Lake

Lakes Region Waterfront Sales Activity 6 Month Comparison

Below you will find data and insight into what is happening in sales activity on ...
Read More →
Buying Land

Buying Land in New Hampshire — Comprehensive Guide

New Hampshire, also known as the Granite State, offers a diverse landscape that includes picturesque ...
Read More →
Weirs Beach: A Tale of History, Community, and Natural Beauty

Weirs Beach: A Tale of History, Community, and Natural Beauty

As we celebrate the 100th anniversary of the oldest bike week in the country, let’s ...
Read More →
First Five Months of Lakes Region Real Estate

Five Months of Lakes Region Real Estate Activity

The month of May’s real estate statistics just came out for New Hampshire, and it ...
Read More →
A bird's eye view of Long Bay on Lake Winnipesaukee

South Down Shores and Long Bay on Lake Winnipesaukee — Its History

When construction started in 1981, Laconia’s South Down Farm offered a picturesque setting for condominium ...
Read More →
Memorial Day — rows of gravestones with flags in military cemetery

Memorial Day Weekend Arrives in the Lakes Region!

The long-anticipated Memorial Day weekend has arrived after a long winter, and the Lakes Region ...
Read More →
Unlike the dandelions new listings aren't popping up in the Lakes Region

Will Listings Start Bloom Like Dandelions?

Will Real Estate Listings Bloom Like Dandelions? During my rides around the Lakes Region, I’ve ...
Read More →
boat launch

Public Boat Launches in the Lakes Region

New Hampshire’s Lakes Region is a paradise for boating enthusiasts and we are now entering ...
Read More →
Real Estate Scams

Real Estate Scams to Be Aware of

One of my Realtors® received a call today from a gentleman purporting to be the ...
Read More →
Brant Point Lighthouse, Nantucket overlooking the ocean

From the Lakes Region to Nantucket

I spent a few days on Nantucket Island this past week for a quick getaway. ...
Read More →
Lakes Region Real Estate Is Still Hot

Lakes Region Real Estate Market is Sizzling

The real estate market in the Lakes Region and the state of New Hampshire is ...
Read More →
Lake Winnipesaukee Kayak

Buying a Lake House — Where to Start?

Owning a waterfront home in New Hampshire’s Lakes Region is a treasured experience. For many ...
Read More →
Home improvements

Home Improvements Before You Sell

One question I commonly get asked is, “What type of projects or improvements should I ...
Read More →
Single-Family units are down

How’s the Lakes Region Market Looking?

We’ve already passed the first quarter of 2023 for real estate sales in New Hampshire’s ...
Read More →
Moving into new home young happy couple celebrating toast Champagne

Buying a Home? Follow These Tips & Tricks

Spring has officially arrived and launches the beginning of our spring selling season for real ...
Read More →

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 →

Leave a Comment