When your house is not up to your standards, you may be faced with the question of whether to remodel or buy a new home. Both options have their pros and cons. It is up to you to determine which option is the best for you. This decision can be difficult to make, so here is a list of things to consider when making the decision.
1. Does the cost of the remodel make sense? Decide what renovations you would like to do to your home. Once you have made this decision, get a quote from a contractor to see what the cost would be. Getting the quote will help you determine if the cost is worth it. If you will need financing for the renovation, take your homes value into consideration. You would not want to take out more money than the home is valued at. Of course, you can use the value it will be at after renovations are finished.
2. Are you happy with the neighborhood your house is in? If you love the neighborhood that your home is currently in, then you may want to stay. Finding a new house that meets all your criteria and is in the same neighborhood, can be hard to find. Renovating would probably be the best choice in this situation.
3. Does your family fit in your home? Look at your ten-year plan for your family. Does your current home fit with those plans? If your plan is to add a child to your family, then you may need to buy a larger home. It could also be time for you to downsize. Basing your decision on your ten-year plan, gives you a good idea on whether or not remodeling would be worth it.
4. Does your home hold sentimental value? We spend so much time in our homes and sometimes a home can hold sentimental value. If your home is more than just a house and holds special sentimental value, then it may be worth it for you to renovate.
5. Is the renovation time something you can live with? Renovations take time to complete. During this time your home will be under construction. Your family will be living in a construction zone while the renovation is going on. It’s important to get a timeline from your contractor. Then decide if you can handle your home being torn apart for that length of time.
6. Are you over improving your home? When doing a renovation to your home it’s important to know the market that your in. You would not want your home to become over improved for the neighborhood you live in. The best way to do this is to look at the comparable homes in the area. If the homes in the neighborhood are not as updated as you would like your home to be, then it’s time to sell the home and buy new.
7. Does a new house meet your wish list items? You should have a wish list for your home. This is a list of all the upgrades you want in your home. When you renovate your home you choose every detail. This ensures that your home is exactly what you want it to be. Buying a new home can mean you possibly miss out on some of your wish list items.
8. Will renovating one section make the other rooms seem out of date? Renovating your kitchen may make the bathrooms seem out of date. If you don’t plan to renovate the entire home, this is something to take into consideration. The home should flow together. Determine what rooms will be renovated, then decide if renovating will bring light to the other sections of the home.
Deciding to renovate or buy a new home can be a stressful decision. Using this list can help make that decision easy.