Did you know that 87% of Americans live in small or medium-sized homes? That's right-you're not the only one who has to put up with a small space. But lack of space doesn't have to be a burden; in fact, it can be pretty convenient. What you need is proper storage to reduce clutter, which is often the cause of space problems. Here are five ways to increase storage in your home and make the most out of living small.

Look for multi-purpose furniture.

A lot of modern furniture is designed to do double duty as storage units. That's why you've got those couches with hollow bottoms, tables with pullout drawers, and recliners with cup, book and pen holders. These eliminate the need to buy additional furniture to hold your stuff.

Maximize your closet.

Organize your closet so that everything from the floor up can hold something. Hangers tend to leave a lot of space unused, so save it for the fancy clothes. For everyday clothing, stick to shelf compartments that can hold rolled and folded-up shirts.

Have a place for everything.

If you have kids, set a fixed play area and give them an accessible place to store their toys. This way, even if they do make a mess, you won't be picking up all over the house. Choose a simple, no-frills unit that doesn't require locks or knobs. Look for a space where they can simply dump their toys in after play time.

Fix up your kitchen storage.

The kitchen is the most problematic place in terms of storage. Kitchen storage has to be easy and efficient-you want everything within easy access but neatly organized at the same time. Put commonly used items in plain sight instead of locking them away, and use the cabinets for larger, seldom-used appliances.

Open up.

Too many cabinets can make your home feel cramped. Wherever possible, trade those boxy units for shelves, racks, and other open storage. Hang your pots and pans, get an open spice rack, or display you antiques collection on a wall shelf. Open storage makes a room look bigger and makes better use of wall space.