Do you want to downsize into a tiny house but are completely overwhelmed? Are you trying to figure out how to get started and what to get rid of?

Where do I begin?
What do I get rid of?
What if I need something I threw away?

Becoming overwhelmed is a quick stop on this downsizing journey. I am here to help you.

Welcome to my guide on downsizing into a tiny house. I will share practical tips on downsizing to help you prepare for the journey, go through your personal items, sort your items, and figure out how to release any items you do not need.

This guide is not the run-of-the-mill generic one you find on most sites.

There is an entire part of downsizing that not many talk about, but it is sometimes the elephant in the room. We cover it here!

Key Takeaways
  • Decluttering Is Essential: The first step to downsizing is to declutter, removing items that no longer serve a purpose or bring joy, creating space for a simpler lifestyle.
  • Make Conscious Choices: Deciding what to keep, donate, or sell requires thoughtful consideration, focusing on retaining items that are essential or add value to your life.
  • Embrace Minimalism: Downsizing into a tiny house is an opportunity to embrace minimal living, focusing on what truly matters and leading to a more fulfilling life.
  • Remember, downsizing is a process, not an overnight solution. Take your time and enjoy the journey!

Disclosure: This post may contain affiliate links, meaning I can earn commissions. If you decide to purchase through my links, it is at no cost to you.

What is downsizing?

Wikipedia says, “Downsizing refers to when a buyer purchases a property which is smaller in size or lower in value than their current home.”

That is kind of generic, so to expand on it, downsizing is the process of transitioning to a smaller living space and reducing the number of personal belongings.

Most who choose to downsize embrace the minimalist lifestyle and intentional living.

Tiny home living is motivated by various factors, such as environmental concerns, financial needs, and a desire for simplicity.”, Tiny Home Statistics

They want more life and to be dragged down by less stuff, debt, and stress. Who wouldn’t?

📖 Reading to Inspire: Living Less: 50 Powerful Downsizing Quotes to Inspire Your Journey

How to Mentally Prepare for Downsizing into a Tiny House 🧠

First and foremost, we must prepare to downsize before we start to downsize. Perhaps we call it creating a “Downsizing Mentality” to get you through the process.

What do I mean by this???

Let me offer an analogy of downsizing as a journey we take in a car. We must warm the engine, grab a map, and pack the car. Then, the journey can begin.

Warming Up the Downsizing Engine ☀️

To warm up your downsizing engine, we must create a “Downsizing Mentality”. This mentality will be built through the following:

  • Acknowledge your Feelings about Downsizing
  • Creating a Positive Energy for the Experience
  • Reflecting on Our Personal Belongings
  • Offering Gratitude for the Essential items we need for Happiness and Functionality

Acknowledging all your feelings about downsizing

Typically, downsizing brings up many feelings. Acknowledging those feelings is huge because we are not robots.

We have emotions, and downsizing can be emotional.

It is nice to be able to recognize those feelings and just allow yourself to experience them. Here are a few feelings you may experience:

FeelingWhat it is or feels like
OverwhelmThe initial daunting feeling of sorting through and deciding the fate of numerous belongings.
NostalgiaTriggered memories and sentimental feelings from going through old items, making it hard to let go.
ReliefA sense of control over one’s environment and life is derived from making intentional choices about possessions.
LossThe feeling of parting with items that have sentimental value or represent a part of one’s identity.
FreedomThe liberating sensation of reducing the burden of excess possessions.
AnxietyConcerns about discarding something useful or valuable, fearing it might be a mistake.
ExcitementThe anticipation of a new lifestyle and opportunities that come with downsizing.
EmpowermentI am optimistic about a simpler lifestyle with less clutter and more freedom, and I look forward to the future.
ClarityA clearer understanding of what is important leads to a more focused and purposeful lifestyle.
RegretMoments of regret for items let go, especially those with sentimental value or if their absence is felt.
SatisfactionThe deep satisfaction from seeing the tangible results of downsizing with a space more accurately reflects current needs and values.
HopeThe deep satisfaction from seeing the tangible results of downsizing with a space that more accurately reflects current needs and values.

Here is a quick prayer to create a positive energy

Dear Universe (or your preferred spiritual reference),

As I stand on the brink of change, I seek your guidance and clarity, embracing the downsizing journey.

Grant me the courage to let go of the material possessions that no longer serve me, the wisdom to recognize the items that bring joy and purpose into my life, and the strength to release those that weigh me down.

Help me trust in the abundance of simplicity, find peace in less, and cultivate a space that reflects my truest self.

May this process not only declutter my physical surroundings but also clear my mind and enrich my soul.

Bless me with the vision to see beyond the temporary, to value experiences over possessions, and to make room for new beginnings.

Let this journey be one of growth, freedom, and a deeper connection to what truly matters.

Thank you for your ever-present support as I embark on this path of letting go, making space for new blessings, and moving toward a life of simplicity and contentment.


Reflection and Gratitude

Before you begin the physical process of downsizing, take a moment to reflect on what is genuinely essential for your happiness and functionality in a tiny living space.

This step is about recognizing the difference between what you own and what truly adds value to your life.

“The art of living well is knowing what to hold onto and what to let go.”

– Lily Tomlin

Next, you must offer gratitude to all the items in your life and celebrate the meaning they have brought.

The item is likely not the reason you want to keep it but the memory it is connected to.

Take some time to really work through the gratitude process. Perhaps record yourself while verbally expressing your gratitude.

How to Assess Your Needs & Figure out What Matters: The Map to Your Downsizing Journey 🗺️

The map to your downsizing journey is all about the questions you may need to ask yourself if you don’t automatically know you can get rid of an item.

Some things will be easier than others. When you really have a tough time deciding, you need to stop and ask yourself the important questions.

Understanding some of the questions or internal conversations you can have with yourself during the process will help you figure out why you want to keep an item.

These questions are inspired by the KonMari method.

Questions to Aid your downsizing Journey

Now that you have your map, it is time to start packing the car.

Start Small and go one step at a time: Packing the car 🚗

Begin “packing the car” by planning your downsizing journey based on one room at a time. The key is to start small.

This is the best approach I have found.

Breaking each room into further areas or sections is a great idea for rooms with many more items, like the kitchen, closet, or bedroom.

Which room should you start in???

Honestly, the room least likely to have sentimental items like the bathroom.

➡ You could even start by quickly grabbing everything you would be excited to get rid of. An ugly picture, old towels that look like you inherited them from Christopher Columbus.


Use a calendar to create a schedule to get through your entire house.

This approach makes the process manageable and allows you to experience small victories early on.

Downsizing your belongings into Four piles

Let me introduce you to the four piles:

4 piles keep toss sell donate
  • Keep: This pile is for items that spark joy, serve a vital function, or are essential to your daily life and well-being.
  • Donate: The donate pile is for items still in good condition and can benefit others, giving them a new life outside your home.
  • Sell: Items in the sell pile are those you believe hold monetary value and can be sold, turning unused possessions into potential income.
  • Toss/Recycle: This is for no longer usable, broken, or worn-out items. It focuses on proper disposal or recycling to minimize waste.

Each decision to keep, donate, sell, or discard becomes a step towards a clearer, more intentional space.

Set Up Your Sorting Stations

Grab four boxes, bags, or bins and label them: Keep, Donate, Sell, Toss/Recycle. This simple system will help you categorize items quickly and keep the process organized.

Unless you are going through the downsizing process and moving out in the same timeframe.

Some things won’t realistically get put in the Keep pile. For example: Your toothbrush and medicine.


If the item is large, attached to a wall, or too valuable to move into a pile, grab some circle stickers (a different color for each pile) and label the item accordingly.

Beginning the Downsizing Journey

You are all ready to begin the journey.

You are mentally prepared, have your map, and packed the car.

There will be some road bumps along the way. That is where the handy questions sheet I gave you above comes in into play.

When you hit one of the road bumps and feel your heartstrings pulling, you can work through the process with a few easy tips.

As silly as it may sound or feel, saying goodbye to our belongings can be freeing and cathartic.

High-Angle Shot of a Person Kneeling on a Blue Prayer Rug

Making a Difference by Donating and Selling:

ActionWhy It Feels GoodTips
SellingPuts extra cash in your pocket and gives your items a second life.It puts extra cash in your pocket and gives your items a second life.
DonatingSupports local charities and helps those in need.Choose organizations that align with your values or the item’s usefulness.

Digitize anything you can to help downsize

If you get stuck on things that are not that sentimental but more useful to keep, consider digitizing it.

In our digital age, there’s no need to hold onto physical items that can be easily digitized. Here is a list of things you could digitize:

  1. Photographs: Scan old photos and store them digitally to save space and preserve memories safely.
  2. Documents: Bills, receipts, warranties, and personal files can be scanned and organized digitally.
  3. Books and Magazines: Switch to e-books and digital subscriptions for your reading material.
  4. Movies and Music: Convert DVDs and CDs to digital files or use streaming services for entertainment.
  5. Manuals and Guides: Many manuals are available online. Download them and recycle the physical copies.
  6. Notes and Journals: If you’re comfortable, transcribe your handwritten notes and journals into digital documents.
  7. Business Cards: Use apps to scan and organize business cards digitally.
  8. Artwork and Crafts: Take high-quality photos of artwork or crafts you’ve created or collected, then store or display them digitally.
  9. Greeting Cards and Letters: For those with sentimental value, consider scanning them to keep a digital copy before deciding whether to keep the physical versions.
  10. Educational Materials: Textbooks, notes, and educational resources can often be digitized or accessed online.
  11. Recipes: Create a digital recipe book from your collection of recipe cards and magazine clippings.
  12. Calendars and Planners: Switch to digital planning tools and apps that can sync across your devices.

Digitizing these items can drastically reduce the volume of physical belongings.

Plus, digital files are easier to organize, search, and back up, ensuring that your important memories and documents are always accessible and secure.

Store all your
photos in a
digital photo frame

Digital photo frame

The Psychological Benefits of Downsizing

Embracing a tiny house lifestyle goes beyond the practical aspects of living with less. It’s a profound journey towards mental clarity, emotional release, and personal growth.

Here’s what you can look forward to:

Reduced Anxiety and Stress: Clutter isn’t just physical; it clutters your mind too. By minimizing possessions, you’re not only freeing up space in your home but also in your head. A less cluttered environment leads to lower stress levels and a more peaceful state of mind.

Increased Focus and Clarity: With fewer distractions, you’ll find it easier to concentrate on the things that truly matter. Whether it’s hobbies, work, or personal projects, the mental space you gain allows for deeper engagement and satisfaction.

Enhanced Sense of Freedom: Downsizing can feel like lifting a weight off your shoulders. You’re no longer tied down by possessions, maintenance, or a hefty mortgage.

Improved Well-being and Happiness: Studies suggest that experiences, not possessions, lead to long-term happiness. Living in a tiny house encourages a lifestyle rich in experiences.


In conclusion, downsizing into a tiny house has been a life-changing experience for me. It has allowed me to simplify my life, reduce my financial burden, and live sustainably.

I have discovered that minimalism is not just a trend but a lifestyle that can bring true happiness and freedom.

Overall, downsizing into a tiny house has been one of the best decisions I have ever made. I encourage anyone considering this lifestyle to take the leap and embrace the benefits of minimalism, affordable housing, and sustainable living.

Trust me, it will be worth it.

I pray this guide helps you through the downsizing process.

Frequently Asked Questions

What are the benefits of downsizing?

It allows you to live a simpler, more intentional lifestyle, financial freedom, reduced maintenance costs, and a smaller ecological footprint. Downsizing also opens up opportunities for travel, experiences, and personal growth.

Are there affordable housing options for downsizing?

Tiny houses, accessory dwelling units (ADUs), and mobile homes are cost-effective alternatives. Additionally, renting a micro apartment or joining a co-housing community are options.

How can I make the most of limited space in a tiny house?

Use multifunctional furniture and vertical storage. Invest in organizers and containers to keep belongings organized. Get creative with storage solutions, like under-bed storage or hidden compartments.

  • Erin Hybart

    Meet Erin, a real estate enthusiast with a wealth of knowledge and an insatiable curiosity for all things Real Estate and living with intention. She passionately advocates for alternative, affordable, and eco-friendly housing solutions. She believes in pushing the industry's innovation boundaries and thinking outside the box. As a licensed real estate agent in Louisiana, Erin dedicates herself to assisting clients in buying and selling properties and mentoring fellow agents to succeed in their own Real Estate businesses. In addition to her professional pursuits, Erin channels her expertise into captivating house-flipping adventures.

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