Deciding whether to stay or renovate your existing home is a life-changing decision. For many, their home has so many memories associated with it that the idea of moving seems impossible. For others, it's the neighborhood or the proximity to work, shopping and schools. However, many of these obstacles can be overcome if you find the right home to move into or, given the current market, the right price can be negotiated.
Here are a few things to consider when you are considering whether to stay and renovate or find a more suitable home.
Cost to Renovate vs. Cost to Move
With homes in high demand today, owners are getting top dollar when they put their house on the market. But remember, that also means that it may cost top dollar wherever you are moving. It pays to bring in a few architects or design/build firms to get an idea of how much it would cost to make your home more comfortable. With this in mind, consider how you will be using your home in the future. It may be more than cosmetic changes you are after, like adding a main floor bathroom for aging parents or yourself. These types of renovations may be needed in the new home you are considering as well and may add to the costs.
One of the most effective ways to compare cost is the price per square foot. How much do the renovations cost per square foot? How much will it cost per square foot to renovate, what will the improved value be of my home and what is the cost of a new purchase?
Location, Location, Location
Many homebuyers get caught up in the idea of looking at new homes and forget to stop and take a look at where they are on the map. This means that while the home may meet many, or even all of their needs, if it isn't close to the schools they want, an easy commute to work and places they like to frequent, they won't be happy with their purchase.
Before you seriously consider a new home purchase, map out your driving or walking times to what you enjoy doing or the places you go most. Consider traffic patterns and weather conditions and how this could add time or make a route more challenging.
Other things to consider when looking at a location are the lot, including the size, configuration, landscaping costs and needs. Does the location drive up the taxes, HOA or Condo fees?
Making a Lifestyle Choice
For many people, the decision to stay or move is a lifestyle choice. They may have decided that an area they thought was right for them when they first purchased their home no longer suits their needs. Maybe they have "aged out" of their current home because there are too many steps or the home requires too much upkeep. For younger home buyers, it may be that the home doesn't have the square footage they need or the right number of bedrooms or bathrooms for their growing family.
Some of these decisions can be solved with renovations but it may be too costly, time-consuming or overwhelming for some homeowners, while others take it on with gusto.
Consider your options carefully. Whether you decide to renovate or move, both are big decisions and we are here to help every step of the way. For more information, contact us at Jersey Mortgage.