Downsizing after divorce

From a big house to a condo

The house had four bedrooms, a yard and two incomes behind it. The next place will have one income behind it and one person doing everything. Here is how to choose a condo or townhome that fits the life you are actually going to live, and the costs people miss.

Search condos and townhomes Talk to the team Call or text 303-955-4220

Call or text 303-955-4220. A live person answers. Not a robot, not a phone tree.

The number

All-in monthly cost

Payment, taxes, insurance, HOA dues, utilities and a reserve. On many Denver condos the HOA is a third of the total.

The HOA

Ask for the documents

Budget, reserve study, minutes, special assessments and the insurance master policy. Colorado gives you a review period.

The fit

What you actually use

Most people use a kitchen, a bedroom, a place to sit and a place to work. Everything else is storage.

The timing

Sell first, or rent-back

A rent-back or a bridge lets you move once. We time the two closings so you are never paying for two homes.

The short answer

A condo is cheaper to run and easier to leave than a house, but the monthly cost is not just the payment. Add the HOA dues, the HOA’s insurance deductible you may owe on a claim, utilities that may or may not be included, and parking. Compare that all-in number to the house you are leaving, on your income alone, before you fall in love with a floor plan.

The real monthly number

PaymentPrincipal and interest on one income. A lender pre-approves you on the decree’s numbers; see what counts.

HOA duesIn the Denver metro, $250 to $600 a month is common for a condo; townhomes often less. Dues usually cover the exterior, the roof, common-area insurance and sometimes water, trash and heat.

Taxes and insuranceTaxes are lower on a smaller place; you still need an HO-6 policy for the interior and your belongings, and a check on the master policy’s deductible.

Special assessmentsA one-time bill when the reserve cannot cover a roof or a garage. The reserve study tells you whether one is coming.

Parking and storageA deeded space or a garage adds value; street parking costs time. Storage units run $100 to $250 a month and quietly eat a downsizing budget.

Questions to ask before you write an offer

What is in the HOA documents, and how long do I have to read them?

Budget, reserve study, financial statements, rules, minutes, insurance and any pending litigation or assessment. Colorado’s contract gives you a review period with a right to terminate; use it. We read them with you.

Is the building warrantable?

A lender’s word for a condo project that meets Fannie Mae or FHA rules (owner-occupancy, reserves, no single owner over a threshold, insurance). Non-warrantable buildings need portfolio loans at higher rates. Ask before you fall for it.

Can I have a dog?

Rules vary by building and by size. Read the rules, not the listing.

Does the HOA cover water damage from the unit above?

Usually only to the extent of the master policy and its deductible, which can be $10,000 or more per unit. Your HO-6 policy fills the gap. Ask for both.

Are condos harder to sell later?

They move a little slower than detached homes in the Denver metro and their prices are steadier. If you may move again in two or three years, a townhome with a small yard often resells faster than a high-rise unit.

What fits, and what does not

Measure the three pieces of furniture you are keeping, not everything you own. Most people leaving a family home keep a bed, a table, a sofa and a desk, and let the rest go. If a piece will not fit through a condo door or into an elevator, it is not coming. What to do with the rest.

One-level living

No stairs, one furnace, one roof someone else maintains. The reason most people over 50 choose a condo after divorce.

Gray divorce

Townhome with a garage

A small yard, your own front door, a place for the car and the bikes. Resells faster than a high-rise unit.

Search townhomes

55+ community

Age-restricted, amenities, HOAs of $200 to $300 a month, people in the same chapter.

55+ communities

Rent for a year

Legitimate. Learn the new budget and the new commute before you buy the next 30-year decision.

Rent or buy

Timing the two moves

Selling the marital home and buying the condo are two transactions with two lenders’ timelines. Three ways to make them fit: sell first and rent back from the buyer for 30 to 60 days; buy first with a bridge loan or a HELOC on the old house if the decree allows it; or sell and rent for a year. The one we steer people away from is carrying two mortgages on one income for months. Buying after divorce.

The next chapter, planned

We help people move from the marital home to the next one every month.

Downsizing after a divorce is not a step down. It is a household that fits one income, one calendar and one set of hands, chosen on purpose. Our team sells the big house, finds the right smaller one, and lines up the lender so the two closings work together.

If the honest answer is to rent for a year first, we say so. Nobody sells you anything.

The sale and the purchase timed together, or a rent-back so you move once

A written budget for the new place with taxes, HOA and utilities, not just the payment

One-income pre-approval with Mike Oswald at Rate, or any lender you choose

Movers, estate-sale and donation contacts who have done this with divorcing clients

Talk to the team

Where to go next

Plain-language education, not advice. Divorce Decisions is published by The Kenna Real Estate Group at Keller Williams DTC, a real estate team. Nothing here is legal, tax, lending or financial advice, and reading it does not create any professional relationship. Colorado law and lender rules change; confirm anything that matters to your case with a licensed Colorado attorney, a tax professional, and your lender. See our full disclaimer.

Call your Colorado divorce agent

Questions about the house, the deed or the decree?

Call us today to talk through your situation and how we can help. A live person answers. Not a robot, not a phone tree.

Call today 303-955-4220 Download the free divorce-home guide

Ask about downsizing

Tell us what you are leaving and what you think you want next. We will send the all-in monthly number for both, free.

Call or text 303-955-4220

A live person answers. Not a robot, not a phone tree. Prefer email? homes@kennarealestate.com