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Small living space is not the end of the world. You may have ended up downsizing due to your financial circumstances, but you should not see it as a punishment.

Over time, it will prove that it is more convenient. For those who feel trapped or out of place, here are some simple solutions to make your small home feel your own.
Dress your windows
Dress your windows but do not overdress them. In order for your room to stay elegant, you need to use some type of curtains or blinds.
However, an uncovered window gives a sense of depth, so make sure you keep your blinds up or curtains to the side throughout the day. Doing this will also ensure that you get enough daylight which is yet another way of making the room seem bigger.
Use mirrors as décor
Speaking of light and pretense, you can use a mirror to create an illusion of large space, particularly if you place it opposite a window.
Another trick you can use is to place it behind another piece of furniture and it will seem as though there is a whole new room hidden behind.
Watch the visual weight of furniture
Most of your furniture should appear light in scale. If you are using big bulky pieces, make sure that you can see the legs of the pieces. Raising furniture from the floor, makes it look lighter.
Compromised minimalism
Minimalism does not necessarily mean having only a chair and a coffee table in your living room. Minimalism is having only the pieces you actually use and love.
This will help you to significantly de-clutter space. Use the items you love to decorate.
Use smart storage solutions
Any pieces of furniture which can double up as storage are the perfect ones for you. Anything with a lift-up top will do the trick.
If you have nooks that you otherwise cannot use, make open shelves, or a built-in closet if you prefer your things are not displayed. This refers to all areas of your home, as there is a hidden corner everywhere including your hallway and the bathroom.
Zone your space
Abandon the idea of walls and choose to use light multipurpose dividers to zone your space. If you have a joint area including the living room, dining room, and kitchen. You can use a tall, light open-type bookshelf to divide the living room from the dining area.
When it comes to the kitchen, you can build a kitchen bar island and use it as a divider between the two areas and as a dining table, as well as a worktop.
Another way of zoning your space is by the use of colors. Where one color ends, another one begins and that’s the transition between the zones. If you add a separate rug to each area, there will be no mistakes.
Furniture
Try using as much built-in furniture as you can when it comes to storage pieces. That will ensure you make the best use of space. When it comes to your lounge, you can afford to have one massive piece and keep the rest lightweight.
As stated previously, the massive pieces of furniture should show their legs. This will help you not sacrifice the comfort of the piece you probably most frequently used during the day or to entertain, your sofa.
Choose the right paint
Start from the walls. All residential and home painters, as well as most interior designers, will tell you that colors best suited for small spaces are light neutrals. They do not limit space in any way.
The same should apply to your ceiling, however, drawing attention to the ceiling can make any room appear taller. Paint a ceiling mural or create a pattern on a light surface to make your ceiling noticed, but not too dark so it does not put weight on the room and make it seem lower.
If you are bored by neutrals, you can use furniture and other elements of the room to add color. Alternatively, you can paint the back of any niches you have a dark vibrant color and place simple open shelves in there to make use of space but still show-off the color.
Layers and vertical space
Keeping away from the center of a room will make it seem larger. Using vertical areas will help you do that. Building shelves closer to the ceiling will draw focus to the ceiling and the height of the wall.
However, instead of covering all of your walls on shelves, arrange things so as to make them appear layered. This means that you will be using items of various sizes and occupy several levels of space, but neither one of the levels will seem overcrowded.
Once you have done everything you could to make space appear bigger, fit more things, and reflect your personality, make sure you keep it tidy and clutter-free. This is the most demanding side of a small home as you cannot allow your home to be messy, there is no hiding anything.