We use cookies to allow us and selected partners to improve your experience and our advertising. By continuing to browse you consent to our use of cookies as per our policy which also explains how to change your preferences.

Home care
Find out about care at home, adaptations and technology to help you stay independent in your own home for longer.
Financing care
Learn about funding options for home care, home adaptations and care homes, together with Attendance Allowance, gifting assets and Power of Attorney.
Housing options
Consider your options and learn about sheltered housing, retirement villages and care homes.
End of life
Guidance to help you through the emotional and practical steps of losing a loved one, from coping with bereavement to arranging a funeral.

Why should you downsize?

We look at the pros and cons of downsizing to a smaller home, or to a different type of home such as sheltered accommodation or a retirement village.
5 min read
In this article
Pros of downsizing Cons of downsizing Changes in health or mobility
Loneliness and isolation Downsizing for financial gain

Pros of downsizing

Downsizing can be a tough decision, especially when you’ve built up many fond memories associated with your family home, but there are also distinct benefits to help make the move worthwhile.


There are many reasons why people may choose to move home in later life. It may be that they simply want to live somewhere different or to be closer to family. Or perhaps a recent (and possibly unforeseen) change in circumstance, such as a health issue or bereavement, has caused them to reconsider their living arrangements.


If you’re in any of these situations, it may be time to consider the three main benefits of property downsizing.


An opportunity to move into a property that is easier to manage, making it easier to maintain independent living.


A chance to move to a more favourable location, perhaps nearer to your family and friends.


A potential way to raise money by moving to a less expensive property, perhaps also with lower energy bills and maintenance costs.

In most cases, smaller properties are also cheaper to run. As a downsizer, you can generally expect your council tax and energy bills to be lower. Maintenance and repair costs are also likely to be lower, particularly when downsizing into a more newly-built home, which should also bring lower energy bills. A well-insulated modern home with an efficient new boiler and central heating system will cost less to heat than a draughty Victorian home with unmodernised plumbing, for example. 


Of course, it’s also a lot easier to keep on top of household tasks in a smaller property, which can be a huge bonus if you’ve been struggling to manage your current home.

Cons of downsizing

While downsizing can be a great option for many people, it may not be right for you at the moment. Weigh up whether any of the following drawbacks might affect you.

  • Leaving friends and neighbours behind: a move closer to family may sound like a good idea, but if you already have a strong network of friends and neighbours, you could end up with less day-to-day contact than you have at the moment. This may also put more responsibility on your friends or family to do more for you than you feel comfortable with.
  • Lifestyle changes: if you’re considering moving to an entirely new area, can it offer everything you need to continue living a fulfilled life? Make sure you research the local area, and if you have any hobbies that are important to you, be sure you can continue them in this area.
  • Who are you moving for? Do you feel pressured by relatives to make a move? While their intentions are good, make sure that the move is right for you, too. If you still feel happy and confident living in your current home, it may be a good idea to explain to them that you aren’t ready to consider downsizing just yet.
  • A smaller home means having less space: while this can be an advantage, it’s useful to think ahead about how much space you might need for hobbies and accommodating family or visitors, for example.
  • Ask the right questions: our downsizing checklists give you more questions to ask, to help you make the right decision.

Changes in health or mobility

Even the most minor changes in health or mobility can affect day-to-day life. You may be finding it less easy to move around or get in and out of your home, particularly if there are stairs or external steps. If this is the case, you might be more comfortable in a bungalow, ground-floor apartment or mobile home.


If you’ve recently had to stop driving, it can become much more difficult to get around your area, and can also affect your social life and your day-to-day needs. In this case, it may be worth relocating to an area where friends and amenities are in walking distance, or are more easily accessible by local public transport. 

It was definitely the right decision. I’m in a bungalow in a pleasant, quiet location close to absolutely everything.

Loneliness and isolation

Coping with bereavement is a very difficult thing to go through at any stage of life, but it can be especially distressing if you’ve lost your partner, especially if they were your only regular company. If your friends or family used to live nearby but have now moved, this can lead to further feelings of loneliness or isolation.


In these circumstances, a new home can feel like a new start, particularly if you move to an area where friends or family are nearby, or where there is the potential to meet and socialise with people of your own age.


However, if you’re dealing with a very recent bereavement, consider if it would be better to wait a while before making a move of this kind. This is already a very difficult time, and moving to a new home may add too much additional stress.

Downsizing for financial gain

Many retired homeowners see themselves as asset-rich but cash-poor: they own a property, but live off a small regular income, such as a pension. Downsizing to a less expensive property can be a way to raise money, which could be used to:

  • supplement your pension
  • pay off your mortgage or other loan
  • spend on holidays or a new car.

Property prices vary enormously, based on a wide range of factors (they can even change from week to week), so carry out your own research thoroughly before deciding to sell a property.


Sometimes the term ‘releasing equity’ is used to describe the process of making money from selling an existing home and buying a new home at a lower price. However, this is misleading. Releasing equity means holding on to the current property and borrowing against its value.

Further reading

Last updated: 06 Nov 2018