The age-old question of whether to move to a new home or remodel your existing one has perplexed homeowners for generations. Fortunately, the popular TV show "Love It or List It" offers valuable insights into making this challenging decision. In this blog post, we will delve into the key considerations that can help you determine whether to love your current home and embark on a remodeling journey or list it and find a new place to call home.
The first step in this decision-making process is to thoroughly evaluate your current home. Consider both its strengths and weaknesses:
Space: Does your current home provide enough space for your family's needs, or do you constantly feel like you're outgrowing it?
Layout: Does the layout of your home work for your lifestyle, or do you find yourself wishing for a different configuration?
Location: Are you content with your home's location, or do you long for a change of scenery?
Condition: Take a critical look at the overall condition of your home, including any needed repairs or maintenance.
What are your objectives for your living space, and what do you value most in a home? Clearly defining your goals will help you decide whether renovation or relocation is the best choice:
Renovation: If you cherish your current neighborhood, have an emotional attachment to your home, or want to preserve a unique architectural character, remodeling might be the answer.
Relocation: If your priorities have shifted, such as the need for a shorter commute, better schools, or a more vibrant community, selling your current home and purchasing a new one may be the right path.
Emotional attachment to your current home can sway your decision. Think about the memories you've created there and the emotional connection you have to the house:
Renovation: Consider whether the emotional benefits of staying and preserving your home outweigh the allure of starting fresh elsewhere.
Relocation: Reflect on the excitement of a new beginning and how it aligns with your current life stage and aspirations.
When calculating the cost to sell your house and buy a new one, here are some of the expenses to factor in:
Home repairs: What do you need to spend to get your home sales-ready? This process might include painting, landscaping and any repairs you’ve been putting off. If your home has serious issues that need to be addressed, they could cost quite a bit of money, depending on the type of repair.
Costs of a new home: How much will your new home cost? Don’t forget to factor in a down payment as well as closing costs, as well.
Costs to move: How much is it going to cost to pack up your home and move everything you own to a new one? . If you’re moving a long distance, it’ll cost more.
Updates to make before moving in: Even if you buy a home mostly move-in ready, you still might want to make small changes like getting it repainted, which will add to the total cost.
Alternatively, think about these major costs if you’re leaning toward a remodel instead of moving:
Materials and labor: The largest chunk of the cost of your remodel is going to be buying the new materials and paying someone to do the work. Databases can provide average costs but getting a few quotes from professionals can help you with a better estimate.
Permitting: Depending on the extent of your remodel, you may be required to get a permit, which can add to your total cost (and time).
Cost of financing: If you’re planning to borrow to finance your remodel, don’t forget to add in the costs of borrowing, such as closing costs and total loan interest. How much you’ll spend exactly will depend on the type of loan you get (common options include personal loans, home equity loans, VA renovation loans and cash-out refinances), the amount you borrow and your interest rate.
Overage: Remember one of the risks of remodeling – you may have to go over budget. It’s wise to build a little cushion into your budget from the beginning.
Anticipate your future needs and lifestyle changes. Are you planning to expand your family, work remotely, or retire soon? Ensure that your decision aligns with your long-term plans:
Renovation: A well-thought-out renovation can adapt your current home to accommodate future needs, making it a viable choice.
Relocation: Moving may offer a better match for your evolving lifestyle if your current home can't easily accommodate necessary changes.
Kelly Thompson, REALTOR
Kelly’s Additional Credentials:
Residential Construction Certified
New Build Specialist Designation