Downsizing traps — why the numbers don’t always add up

On paper, downsizing looks simple.

Sell your home for $1 million.
Buy a new one for $500,000.
Pocket the $500,000 difference.

But in reality, it doesn’t work like that.

🎥 Watch the video below to understand what to look out for.

In this short video, Rachel Lane explains the financial traps that can catch downsizers off guard — and why it’s essential to understand what you’ll actually walk away with after selling.

Before you make any decisions, it’s important to factor in:

Selling costs
Renovations and repairs
Agent commissions
Moving expenses
Stamp duty
Legal fees
Furniture and setup costs

For many people, there aren’t just two numbers involved — there can be five, sometimes ten.

General information only — not personal advice.

👉 You can also use our downsizing calculator to estimate what you’ll really have available to invest or spend.

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The ultimate downsizing guide

Let Noel Whittaker and Rachel Lane guide you through the legal and financial maze, explain how a move can affect your lifestyle, superannuation, pension and benefits, and share some real life stories from readers.

Whether you’re moving to a townhouse or apartment in a strata title development, considering a granny flat or tiny house with family, looking at collaborative housing with like-minded people, or making the move to a retirement community, listen to the experts, and make it your best move.