Monday, December 2, 2013
Should you remodel or move?
It can happen suddenly, when you least expect it, the realization that your current home is no longer adequate to your needs can come in a flash, or creep up on you over time. It may happen because you finally notice the clutter that’s been piling up in the middle of your living room, or you are planning on adding a new member to your family and need the extra room, or maybe you just realized your house is falling apart around you. But, do you really need a new place, or can you simply get an expert to remodel your house and convert it into the home of your dreams? The answer depends on a few very important points. 1. Taking a long, hard look at your reasons for wanting to expand. Regardless of the decision you ultimately reach, you must get to that point after pondering the reasons you have for wanting to make a change. Considering what the future holds for you can be a deciding factor in the case of wanting more space for your children. If you are starting to plan a baby, then a larger home may be the best choice, but if you have teenagers who will be leaving for college in a relatively short period of time, remodeling may be your best bet. 2. Consider your existing structure and the size of your land. In many cases, a house is already as big as it can be, and the structure may not be able to withstand another addition. If this is the case, a move will probably be beneficial, but if not, you may want to consider adding additional space. You should also determine whether the size of your land will be able to accommodate an expansion on your home, because in the end, you may not want to give up your garden for a new kitchen, in which case your best option would be to move to a larger home. 3. Keep the long term market value of your home in mind. In a recessive economy, investing money into remodeling your home may not be the most viable option, especially if the investment will be larger than the potential sale price of your home in 5 or 10 years. If this is the case, you may be better off finding a new property, but remember to consult an expert realtor for a realistic estimate on the viability of your project. 4. Moving can eat into your savings. Even though you may think that remodeling is more expensive than moving, in many cases this is not true, especially considering the cost of moving. When you move you have to pay a wide variety of fees and commissions, not counting the cost of the new property, which will not add any value to your finances, whereas remodeling will add value to your property and increase your equity, which can be a good move for a future sale. Regardless of whether you choose to move or decide to add to your existing property, always weigh your options carefully, and consider a future that may come faster than you think.