Written by Gabriel Dillard
Sometimes affording a house can come down to downsizing — buying a home with a little less square footage or fewer rooms.
In fact, going from four bedrooms to two can save you tens to thousands to hundreds of thousands of dollars, depending on where your live, say bloggers at PropertyShark.com, which covers real estate and market trends.
For example, going from four to two bedrooms in Fresno can save you about $129,000, while doing the same thing in Los Angeles could save you $206,000 and $677,500 in San Francisco.
The study looked at 20 California cities, noting the differences in downsizing one room at a time and more than one. Property taxes in the cities weren’t factored into the calculations.
“Downsizing can be an appealing option when certain rooms have transitioned into little more than costly storage spaces that need heating, cooling and cleaning. As you start getting near your retirement years and the house gets emptier, you may be considering getting a smaller place,” states the online report, which cites the upside of having a home with less costly upkeep, along with the money that can be gained selling a larger home and buying a smaller one.
“Before committing to moving, it’s important to do a lot of research and reflection first so that when it comes time to sell, you know you are comfortable with your decision. There are a lot of factors to take into consideration, and one of the most important ones is not treating downsizing as an investment, but rather as a new home that fulfills your needs,” according to the report available online at propertyshark.com.