8 Things Real Estate Agents Always Tell People Who Buy Small Homes

If you’ve ever been in the market to buy a home, you know that listing photos can trick you into thinking a space is bigger than it actually is. Or sometimes, you find the right house in the right location only to notice its square footage is a little (or a lot) smaller than you wanted. Buying any home on the small side might make you uneasy, but once you weigh the pros and cons, it could actually be a perfect fit.

Expert advice helps when making such decisions, of course. Here are eight things real estate agents say when they work with people buying small homes. 

First, try not to fret. “A home is what you make it,” says Katherine Nelson of Allen Tate Realtors in Greensboro, North Carolina. “If a smaller home is the right choice for you, don’t worry, there are plenty of ways to make your home feel larger.” (Perusing Apartment Therapy’s Small Spaces section is a start.)

You’ve probably heard it time and time again, but location is crucial. “A small home in an A+ location can pack a lot of punch and may be more valuable than a larger home in a less desirable area,” says Dana Bull of Sotheby’s International Realty in Boston. Look for ways to increase or improve the square footage, especially if resale value is on your mind. “Could you expand into an attic or basement?” asks Bull. “Can you renovate the property to unlock value?”

People often choose smaller spaces because of their budget. Lalaena Gonzalez-Figueroa, a real estate agent in Westminster, Colorado, says if you “consider a median price per square foot of $250, which is low for major cities like Chicago, Denver, and Philadelphia,” then “the difference of 100 square feet is over $25,000.” Once buyers start doing the math, “they are often eager to figure out how to make a smaller space work.” 

Typically, the smaller the space, the less money needed to maintain it. “Think lower costs for heating and cooling, less maintenance, and even lower property taxes, which are reflected in your monthly mortgage payment,” says Gonzalez-Figueroa. Nelson also points out that “smaller spaces often take less electricity and water, so you may be able to save money on electric and water bills.” 

If the layout makes sense and flows nicely, “Sometimes a smaller space can actually be more functional,” Bull says. Another tip is to make your rooms serve multiple functions, “such as an office that transitions to a guest room or laundry area that doubles as a play space.” Or, if you feel like getting creative, “Look for ways to go up, down, or into walls. Adding lofts or adding storage in crawl spaces is a good way to maximize storage,” Bull says.

“Your favorite furniture might not work in your new space, even if it technically fits,” says Gonzalez-Figueroa. “Take a look at the scale of your items and how they work within the space. Removing a part of a sectional or going with a streamlined dining room table can make a big difference in how you (and your stuff) occupy your new space.” Also, Nelson suggests items with dual purposes, like a desk with lots of drawers for storage. 

In addition to shorter pieces of furniture, which give the appearance of high ceilings, mirrors that reflect light, and long curtains that help draw the eye up, there are other things you can do to make the space feel larger. Nelson says, “It may sound counterintuitive, but if you have a smaller space with few rooms, it can be helpful to create separate sections in the rooms. For example, you can use a movable island to separate your kitchen from your living space or even a couch. Creating separate ‘rooms’ helps make it feel like you have more space.”

“Sometimes the house just feels right, despite the fact that it’s smaller than the buyer initially expected to buy,” says Gonzalez-Figueroa. But it’s always important to envision yourself living there. “I once had a large family who fell in love with a house. Right then and there, my clients said that they wanted to place an offer, but what they forgot to notice was that the house lacked any space for their dining room table. The house was, in fact, too small. While it’s often something that can be worked out, there are definitely times when buyers will take a step back and acknowledge that they really do need more space.”