By: J. David Chapman, PhD, / November 20, 2026
For much of our adult lives, the American Dream has been about more. More bedrooms, more bathrooms, a bigger yard, a three-car garage, and perhaps a swimming pool. We work hard, raise families, accumulate possessions, and eventually find ourselves living in a house that was designed for a life we no longer lead.
Then something happens. The kids leave. The stairs get a little less appealing. The yard becomes a chore rather than a pleasure. Suddenly, that 3,500-square-foot dream home starts looking like 3,500 square feet of maintenance. Welcome to the second half of housing.
Traditionally, we have called this downsizing. But I think that misses the point. For many people, particularly empty nesters and those approaching retirement, the decision isn't necessarily about living in less space. It's about living a different lifestyle.
A recent article caught my attention about retirees moving away from condominium ownership. For decades, condos were marketed as the perfect retirement solution. No yard to mow, no exterior maintenance, and the freedom to lock the door and travel.
Unfortunately, rising insurance premiums, homeowners association fees, deferred maintenance, and unexpected special assessments have complicated that equation. Some condominium owners are discovering that maintenance-free doesn't necessarily mean expense-free.
So, what are the alternatives? Some are choosing smaller single-family homes. Others are moving into townhomes, patio homes, or cottage communities. Still others are discovering the advantages of renting, particularly in newer build-to-rent communities where someone else handles the roof, landscaping, and maintenance.
And some are staying exactly where they are, modifying their existing homes to accommodate the next chapter of life. But I believe the most interesting change isn't the type of housing people are choosing. It's what they want to be near.
In my book subURBAN!, I discuss the importance of creating communities where people can walk to restaurants, coffee shops, parks, churches, and other gathering places. These amenities become increasingly valuable when we no longer want to spend our lives behind the steering wheel.
A smaller home in a walkable neighborhood may offer a richer lifestyle than a much larger home isolated behind a garage door. In Landlord!, I explore another important consideration: ownership isn't always the best financial or lifestyle decision. Renting can provide flexibility, reduce certain financial risks, and free up capital for investments, travel, or simply enjoying life. Of course, renting introduces its own risks, including rising rents and the absence of home equity.
The point is that housing decisions should be about more than square footage, mortgage rates, or potential appreciation. We should be asking different questions. Can I walk somewhere interesting? Will I know my neighbors? Is the house adaptable as I age? How much time and money will maintaining it require? Does this home support the life I want to live?
Perhaps the biggest mistake we make is assuming that the home that served us well for the past 25 years will be the right home for the next 25. The second half of housing shouldn't necessarily be about downsizing. It should be about right-sizing our lives.
Dr. J. David Chapman is Chair of Finance & Professor of Real Estate at the University of Central Oklahoma (jchapman7@uco.edu).