Where downsizing will save you the most - and least

"When you trade your home for a smaller one, you typically expect smaller monthly bills, too. But that's not always the case. While in many US cities downsizing will save you big bucks, it could cost you in others, a recent report by StorageCafe found. Across the country, the average downsizer saves about $200,000 over a decade - more than half the cost of a typical American home."

"To create its index, StorageCafe compared the cost of four-bedroom versus two-bedroom homes, factored in a decade of median property tax savings, and subtracted typical closing costs and self-storage costs in about 90 of the country's biggest cities. Downsizing is the best deal across the South - the report found 13 of the top 20 US cities for downsizing gains relative to home value were in the region."

Trading a larger home for a smaller one yields an average savings of about $200,000 over ten years, though outcomes vary by city. The calculation compares four-bedroom and two-bedroom prices, includes a decade of median property tax differences, and subtracts typical closing and self-storage costs across roughly 90 major cities. Southern metros, particularly in Texas, show the largest gains because rising suburban values and faster new construction magnify cash released by downsizing. Dallas exemplifies this with nearly $373,000 in savings, roughly 120% of a typical local home, while some cities can produce net losses.

Read at Business Insider