DENVER (KDVR) — It’s a trend that keeps on growing during the pandemic: homeowners deciding to downsize their living space.
When it comes to reaping the financial benefits associated with downsizing your home, new research shows Denver has one of the best metropolitan areas to do so.
In fact, while looking at the country’s 20 largest metro areas, analysts at STORAGECafé ranked Denver-Aurora-Lakewood as 15th for potential downsizing savings.
According to researchers, downsizing from a four-bedroom to a two-bedroom home in our metro as a whole results in an overall savings of roughly $159,000 for homeowners.
As things stand, the value of a four-bedroom home in the metro is hovering around $630,000, while a two-bedroom is clocking in at around $420,000.
Historically, downsizing has been popular among empty nesters and retirees, but analysts found here in the Denver-area, millennials and gen-xers are jumping on the bandwagon; especially those who live in multi-generational homes.
“In Denver, as much as 26% of 18-24 year-olds live within a multi-gen home. As two generations come under the same roof, one of them is likely to downsize,” said Mirela Mohan, a real estate editor with STORAGECafé.
The major reason for downsizing among all age groups in our metro: finances, health and the desire to live a simpler life.
The research goes on to show if you moved from a four-bedroom home to a two-bedroom home in Aurora, homeowners would save $330,000.
By moving into a two-bedroom in Lakewood from a four-bedroom in Denver, analysts found homeowners would save about $210,000.