Hey Valerie!
Downsizing is subjective. In my situation, four years ago, because of the birth of my youngest child, my husband and I felt we had out grown our three room lofted condo. We negotiated a sweet, rent to own lease for a beautiful 2500 square foot town home. Meanwhile, we rented out our condo, because we could not sell the condo.
Fast forward to today. Our tenant has not been paying enough rent to cover our expenses on the condo. Our lease has reached the time to purchase, but the Owner wants more than the home's appraisal value. My husband and I made the decision to walk away from the town home (losing a substantial down payment with that) and moved back to our condo.
It might sound crazy to others, making the decision to leave an additional 1000 square feet of space, status, slightly better location, and a down payment that was nothing to scoff at. But, our move offers us a substantial monthly savings. Furthermore, I put the girls in our lofted space and my husband and I took the smaller, private bedroom, and the space feels much bigger than before.
Our refrigerator is smaller; so, we are purchasing our food smarter (lowering costs). The space is smaller; so, our utility bills are smaller (not to mention tremendously easier to clean). We have improved our bonding because of our smaller space (no where to get away for more than 45 minutes).
Now, my family is saving more and traveling more and loving more. We are living simpler and smarter. And our neighbors are nicer (lol).
More importantly Valerie, letting go of the second property opens us up to other opportunities across the globe. So, life is better than good; it is really, really, really good or great!
Read my latest article
Success and Failure . It is the notion I used to help my husband and I make this huge decision.
Good luck!