Brits continue to downsize their homes
People downsizing to a smaller home continue to represent the largest buyer group in Great Britain, accounting for 37% of all homebuyers in the first half of 2025.
While downsizing activity remains strong, it is nevertheless slightly down from 40% in the same period last year, new data published by Hamptons shows.
“This decline doesn’t necessarily signal reduced interest in downsizing—it more likely reflects the impact of falling mortgage rates over the past 12 months, which have boosted activity among groups more reliant on borrowing, such as first-time buyers,” the group said.
In the £1 million+ market, downsizers made up 37% of purchases in the first half of the year. This is a marginal increase from 36% in 2024, but still well below the 52% seen in the first six months of 2017.
“The long-term decline in high-value downsizing suggests a shift in motivations. Rather than trading down from large, expensive homes to similarly high-value but smaller properties, many downsizers are now prioritising ways to reduce their monthly outgoings,” Hamptons said.
“Regionally, downsizing is more prevalent in higher-value areas where homeowners can unlock greater equity by moving. In London, for example, downsizers accounted for 47% of all movers in the first half of 2025, compared to just 33% in Wales.”
There has also been a noticeable shift in the profile of downsizers, the group said.
Across Great Britain, only 2% of downsizers spent over £1 million on their new home. This figure doubles to 4% in London and the South, but remains significantly down from the 17% peak seen in 2022.
“This trend suggests that downsizers are opting for more modest homes and making the move earlier in life—likely in their 50s and 60s—driven by a desire to reduce mortgage burdens and avoid the high utility bills associated with larger properties,” Hamptons said.
Supporting this theory is the fact that a record 41% of downsizer homes purchased this year cost between £250,000 and £500,000, up from 31% two years ago and 28% in 2017.
Meanwhile, the proportion of downsizer homes purchased in the £750,000 to £1 million bracket has dropped to just 1%, down from 7% in 2022. These figures point to a growing preference for affordability and practicality over prestige.
“The scale of downsizing is also becoming more modest. A growing share of movers are trading down by just one bedroom, with the proportion rising from 57% in 2023 to 65% so far in 202, Hamptons said.
“At the same time, fewer downsizers are making large moves down the housing ladder—only 9% have opted for homes with at least three fewer bedrooms, compared to 17% in 2023.”
This suggests that downsizing is increasingly about fine-tuning living arrangements rather than making radical lifestyle changes, the group said.
