Six Things To Consider When Deciding to Move Vs Update Your Home
We’ve got six points for you to consider when deciding if you should move or update your home. You’ve been in your home for a few years, and you still love it, but repairs are starting to pile up and it could use some updating. You may be bursting at the seams, lacking storage, or need a home office? Or maybe it’s no longer precisely what you want or need. So…you begin asking yourself, “Should I put the house on the market and buy something new? Or do we invest in updates and settle in for another few years?”
To answer this question, you’ll need to consider your wants, needs, and emotional attachment to your current home. You’ll also need to decide whether or not renovating will offer you a good return on your investment and if not, you’ll need to be ok with investing in upgrades knowing you won’t recoup those funds. Also, are you in the financial position to purchase a new home? These factors, along with a few others, can help you make your choice.
Is Your Home In Your Heart?
Emotions play a prominent role in whether you choose to stay or go.
When deciding whether to move or update your home, you’ll need to think honestly about relationships with neighbors and the local community. If you have children, don’t forget to consider their friends, extra-curricular activities, and schools. Also, how do you feel about the surrounding area? Restaurants, grocery stores, etc. — all the places you frequent? If you have emotional ties to your house and a solid connection to the community, updating may be for you. However, if you’re attached to your area but not your house, you may be able to find new construction or an updated home in that same area and save yourself the headache and out-of-pocket expenses associated with renovations.
Will You Earn Back The Upfront Costs
Before choosing to remodel or sell, try to determine your investment return on either option. If upgrading, find out the average return on investment for the renovations you’re considering. Homeowners are often surprised to discover that home upgrades don’t typically pay for themselves in the form of a higher sale price. They do, however, usually result in a quicker sale when the time comes. On the other hand, if you’re thinking of moving and buying a new home, ask yourself if you’ll be in the new house long enough to recoup the costs of moving and taking out a new mortgage.
Can You Budget Realistically
Drafting a realistic budget is crucial when deciding whether to look for a new home or make your current home work. Budgeting accurately is essential either way. If you choose to buy, you need to have your finances to make a down payment, pay closing costs, along with moving expenses. If you’re renovating, you may need to pay a contractor for labor, materials, and the inevitable unexpected costs. Occasionally, you’ll also need to pay for storage and temporary living in the event of whole-home renovations. Some homeowners don’t know exactly what they want or have the wherewithal to redesign a home in a professional and cohesive way. This can potentially cause issues as you begin to renovate with a specific budget in mind. As the project evolves, it can end up skyrocketing in price, and you may be left dissatisfied.
Time May Not Be Your Friend When Deciding To Move Vs Update
You may know you want to move eventually, but you feel like you can make it another year or two in your current home before you do. If this is the route you choose, be aware that another year or two may not be a big deal to you, but it can be pretty significant for your home. That’s 12-24 months more wear and tear. Two years from now, your roof will be a couple of years older, and so will your HVAC system, water heater, and every other big ticket item in the home. That’s also another additional couple years kid’s fingerprints on the walls, wear and tear from pets, and worn carpet and fixtures. Your kitchen and bathrooms may be on-trend and appealing to buyers now; they may be edging on outdated two years from now. Sometimes updates come all at once and pile up, and you find yourself overwhelmed — not to mention the emotional toll it takes on the household when your home is in a constant state of renovation. Moving every few years may feel like a lot, but so can staying put long term in your house current.
Can You Withstand A Renovation?
Many people overlook that renovating involves a serious commitment. It’s often long-term and takes a lot of time and energy. A kitchen remodel with new or repainted cabinets, countertops, appliances, and flooring can stretch from six weeks to six months and beyond. You may need to address any unexpected ductwork, electrical wiring, or plumbing that could add time and money to your project. Remodeling a bathroom can require two or three months, as well. Renovations require patience and the ability to withstand upheaval in your home. Not using your kitchen for a few weeks may sound simple enough, but living through it may test you. Be prepared for all possible scenarios. So if current decor and on-trend fixtures and floorplans are important to you, new construction homes may be the way to go. They offer fantastic incentives to buyers and allow customization that will enable you to get precisely what you want from the very beginning.
Beware Of ‘Over-Improving’
You want to be careful and avoid “over-improving” your home compared to other homes on the block. An over-improved home doesn’t sell for as much in its current location as it would in a neighborhood full of similar houses. When you’re in an area with smaller starter homes, adding an addition or doing extensive renovations may not yield the return you expect. Remember, houses sell based on how comparable they are to the homes around them. As we said earlier, your new kitchen may help your house sell faster than all the other houses in your neighborhood, but it doesn’t mean that it will sell for more. Think about this before investing in marble countertops or extremely high-end flooring.
Living Houston Can Help You Decide
If you live in a home long enough, you will inevitably find yourself in a position where something needs to be updated. Sometimes these updates are minor, like a fresh coat of paint, and sometimes they’re significant, like a new roof. For individuals who don’t love renovating, this can be stressful and daunting. They’ll often ask themselves at some point whether or not it would be better to move. If you find yourself in this position, Living Houston is here for you. We offer free in-depth consultations that can assist you in deciding if it’s best to stay put or if moving is the best option for you. Contact us anytime to schedule your consultation.