Sometimes, as a homeowner, you may have to make the decision of whether to move, or, stay in your home and renovate instead. Although it might seem easier to just pack up and move out to another location, some further investigation may make renovating your home and staying put a more viable option. Here are some great tips on making the decision when to renovate & when to move on!
Things to Consider if you Move?
You will need to get an assessment done on your present home to see what your home is worth. Next, you will need to check out the area where you wish to move to and find out the average cost of a home that you would be interested in that location. Will the differences in price make a profit for you, or a deficit?
If you decide to move, you will need to take into consideration many expenditures that you may not have thought of such as:
- Real Estate Commissions
- Lawyer or Notary fees
- Necessary fees for a home inspection
- Repair fees on your old home to increase value to your home. Buyers will not buy your home for the asking price, if they have too many repairs to do.
- Tax increases. Moving to another location may incur a steep tax increase.
- Actual moving costs, whether you move yourself with friends or if you hire a professional moving company.
- Money to re-install all of your necessary utilities
- Rental costs if you sell your present home before the new home is available.
- Storage space rental
- There are always unexpected expenditures that will surprise you.
- There is no such thing as the perfect home, so even if you move, there will be things that you will want to change in the new place that will cost you extra money.
- Will you need to relocate your children into a new school? This will be a huge change for them, especially if they have a lot of friends that they have grown up with in your present neighborhood. Making new friends can be very difficult for some children, particularly teenagers.
- Children also become accustom to the neighborhood. It will be a big adjustment for them to get familiar with a new area.
Whether you move or stay and renovate there will be stress but it has been said that moving is one of the most stressful situations in a person’s life.
Things to Consider if you Renovate?
- There will be many costs in regards to renovating such as designer fees, blueprints, materials, workers pay etc. You will need to take these fees into consideration and see if they will cost more than moving would be.
- When renovating there are always unexpected costs that are not planned, for no one knows for sure what is within your walls until renovation starts.
- Keep in mind that any money you spend on your home now will add to the value of your home if you choose the right renovations.
- Know the value of the homes in your area because, if your renovations bring up the value of your home too high, people may not buy it and you may loose the money that you have spent on the upgrades. This is known as overcapitalizing.
Are you willing to put up with workers in and out of your house every day while renovations are being done? There will be more mess and may cost more than you think.
Remember, moving or renovating both have their own pros and cons. Weigh each of these options carefully and you will be able to make the best decision for both you, and your family.