Same here...my wife and I thought about getting a larger house when we had our second child in 2002.  By that time, I had started researching Peak Oil pretty heavy and we decided to stay in our 1800 sq. ft. house, fix it up to be efficient, refinance the mortgage to 4.15%, cut the mortgage to a 15 yr instead of 30 yr., buy some decent bikes, buy a Prius, I realigned my 401K to a different strategy (heavier in developed international, midcap value), bought a little gold/silver, connected with a KC Peak group, and developed more friends of like-mind.

I have also bought efficient light bulbs, canvas grocery bags, have my "emergency" kit stashed away with about two weeks of food/drink supplies, books on gardening, camping, and survival.  Next year we are going to research permits and installations for solar panels on the house.

Lastly, we have a couple of friends with land out of town about 30 miles that are willing to put us up if need be for short term duration.  They have cows, chickens, pigs and stream close by.