Traditionally associated with empty-nesters who no longer need multi-bedroom homes, downsizing is experiencing an increase in popularity that spreads beyond the regular fanbase to other generations as well. Both Millennials and Gen X-ers tend to be more mindful about resources and how much they consume, on one hand, and more interested in freeing up money and time for experiences, on the other hand. Additionally, Americans’ increasing love for minimalism is seeing more families embrace the downsizing idea – many of us might not really be prepared for living in an actual tiny home, but we’d surely be willing to sacrifice some space in order to ease the upkeep chores and lessen the financial burden of needing to buy more domestic goods.

On top of that, residents of large urban centers have an extra incentive when it comes to downsizing – big city living is expensive, no secret there, and switching to a smaller home can help with living in the same area, without dedicating a big chunk of your income to mortgage payments.

While all these perks are generally common to downsizing everywhere across the nation, the savings part can differ a great deal depending on location. Where can homeowners enjoy the biggest savings when moving to a smaller home?

We looked at the country’s 20 most populous metropolitan areas to see where downsizing pays off the most. We based our calculations on the difference between the value of a 4-bedroom home vs. a 2-bedroom home in each metro area. We also took into account the difference in property taxes over a period of 10 years, plus selling and buying closing costs for both properties.

There may be other costs associated with downsizing but those can vary depending on personal needs and are generally less of a financial burden. Self storage for example – a service that’s frequently used when moving into a smaller home – costs roughly $127 per month on average. A standard 10×10 storage unit can easily hold the entire contents of two compact bedrooms – much lower than the residential price for the same square footage.

With property constantly on the rise, homeowners may be tempted to downsize to a smaller home, unlocking significant financial gains in the process. However, the yields vary significantly depending on where you live.

In our most recent study, we looked at the country’s 20 largest metropolitan areas to see where downsizing pays off the most. We based our calculations on the difference between the value of a 4-bedroom home vs. a 2-bedroom home in each metro area. We also took into account the difference in property taxes over a period of 10 years, plus selling and buying closing costs for both properties.

All thing considered, moving to a smaller home in the Atlanta-Sandy Springs-Alpharetta metro area offers the second lowest amount of savings among the country’s major metros.

Here are the main highlights for the Atlanta metropolitan area:

• The value of a 4-bedroom home stands at $350,000 in the metro area, while of a 2-bedroom one it is around $218K. Downsizing from a 4-bedroom to a 2-bedroom home in the Atlanta area results in overall savings of roughly $110K for homeowners.
• However, homeowners currently residing in the city of Atlanta can save almost $280,000 if they pick a smaller home in Sandy Springs.
• Downsizing within the city of Atlanta itself gets homeowners over $163,000 in savings.