NEARLY half of people moving house plan to “downsize” in the next three years, according to
NEARLY half of people moving house plan to “downsize” in the next three years, according to research from Lloyds Bank.
A whopping 46 per cent of movers plan to downsize when they take their next step, the survey revealed.
There are definitely financial benefits to be gained from trading down, with an average potential windfall of £117,230 when moving from a detached home to a semi-detached house.
Unsurprisingly, house prices in the capital mean that London homeowners could make the most from downsizing, as they stand to free up an average of £201,052 from trading down from a detached to a semi-detached home. The figures showed that the average age for a downsizer is 53, at which point the greatest number (37 per cent) of downsizers had lived in their home for between 11 and 20 years.
The main reason people cite for downsizing is to move somewhere which better served their circumstances (53 per cent). Other reasons include in order to reduce bills or free up equity (both 39 per cent), or to provide extra cash for retirement (31 per cent).
A fifth say that they are downsizing earlier than they had anticipated, citing reasons such as health, changes in relationship status and a need to be closer to better local amenities.