Best and Worst States for Downsizing

As home prices have risen across the U.S., downsizing has become less profitable than it has in the past. In many local markets, the cost of a small home has grown so much that homoewners aren’t gaining as much by downsizing. In fact, a recent survey from moving service company MovingPlace shows that in 33 states, a typical downsizer would still owe money after selling their family home and buying a smaller one. Meanwhile, other markets offer more considerable profits for downsizers.

Which states offer the most profit for downsizers?

Kansas offers the largest estimated cash surplus after downsizing at $45,410. This state is followed by Oklahoma, where the typical cash surplus for downsizing is $34,160; Missouri, which offers a cash surplus of $22,458; and then Texas, with a cash surplus of $19,515.

Which states are the worst for downsizing?

While technically not a state, Washington, D.C., is the hardest place to downsize. In Washington, D.C., a typical homeowner would still owe an estimated $159,587 after downsizing. Other states where downsizing is more challenging include: California, where homeowners owe $91,446 after downsizing; New York, where they owe an estimated $83,447; and Massachusetts, where they owe an estimated $61,959.