agwca, I have downsized once. From a giant multi amp system to much more simple systems. I think downsizing is a mistake (I went back to a big system). You want the best system you can afford that fits into the space you have available. That's the best way to address this. Mostly by stating your budget, your needed sources, and your space limitations.
If you had to downsize to smaller, more buget...
If you were forced to downsize and have to live with lower priced and perhaps smaller gear, what would you choose in amp, dac and speakers, etc., that best reflects your music/soundtrack tastes that your best gear has given you, albeit perhaps to a lesser degree?
What positive qualities are gained while minimizing SQ issues do the equipment choices working together provide or avoid?
Might help those downsizing or looking for a smaller, less expensive but competent system.
How low in price can you go? What's you experience?