McMansions: Super (Down) Sizing

Backlash to the huge impersonal McMansions has started.
People suddenly realize when cash is scarce – and their mortgage is hig, their utilities bills are high, and gardeners cost a lot, repairs for roofs and wear and tear are a lot – that ”maybe we don”t need all this square footage!

McMansion

This is a trend we can agree with and encourage. 
However, just like jettisoning SUVs when gas prices were up, we see some buyers back in that market now the fuel is ”lower again”.  McMansions will again be popular as status items – but it will be a long time.  Probably not until the Boomer”s kids get into that age bracket where they want to show all they”ve worked for.  There will always be the media to showcase celebrities” fantastical homes and bring back the urge. 

When home financiers will underwrite mortgages for people up to 30% of their income, and people will take up the money, they will buy what they can when the jobs return.

Smart investors will live a bit below their means and buy homes like they buy cars, used and cheap – and then do great with the repairs and upgrades.

Here are some thought starters for those interested in owning homes, but not having the homes own them:

NotSoBig

A key aspect is to think about how much stuff you have (can you declutter?) so you don”t need a huge space; and to think about how often areas of your home actually get used.

With a better sized home you can more easily afford better materials.  Carpeting a 3,500sqft house forces you to downgrade the carpet you really want.  But putting down only 1,500sqft allows you to pick the thickest pad and most luxurious carpet.  Or allows you to change the carpet every five years with home trends rather than wait until that ”70”s Shag” wears out in the 90”s.  A 10x10ft kitchen can be outfitted with more charming details that a 30×10 kitchen cannot.

So think about what you really need in a house. 
Your finances will thank you.

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