Alt-tag: Remodel your home or buy a new one
Sixty percent of Americans consider relocating the most stressful experience in their lives. However, is living in a construction zone any less anxiety-inducing? If you’re a homeowner unhappy with your existing living arrangement, you have two choices: renovation or relocation. When making this decision, there is a lot to consider. Various factors influence whether remodeling or purchasing a new house is the best option for you and your family. Therefore, in this article, we will break down the question: Should you remodel your home or buy a new one? We’ll review the pros and cons to help you make an educated decision. Let’s begin!
Remodel Your Home or Buy a New One: Relocation
Most Americans dread relocating. However, this could be your best option if you’re looking for a dramatic change. Whether you’ve outgrown your existing house, see an excellent chance to earn top dollar on the market, or believe the grass is greener on the other side, there are plenty of reasons to consider selling your home and moving.
According to the U.S. Census, the top 5 reasons people relocate instead of renovating are:
- A home upgrade.
- A new job.
- Better mortgage options.
- A shorter commute to work.
- A better neighborhood.
So, before you make any decisions, read our list of moving pros and cons.
Pro: New Real Estate Investment
If you have equity in your existing house, selling it and buying a new one might be a fantastic way to diversify your portfolio. If the value of your home exceeds the amount owed, it may be time to sell. You’ll need enough equity to pay off your mortgage, handle closing fees, cover moving expenses, and make a new (potentially more significant) down payment.
Perhaps you can no longer afford your current investment and want to downsize. If this is the case, you are not alone. About a third of Americans have struggled to make ends meet and have been compelled to make trade-offs. Therefore, downsizing might relieve financial stress and allow you to pay off lingering debt.
Pro: Make a Change for the Better
Do you feel stuck or content in your existing home? Sometimes, the grass truly is greener on a new lawn. Moving to a new place will give you a new perspective on life. This shift might be an exciting way to broaden your horizons while improving your well-being. Of course, you will first want to rely on intestate moving experts if you value your mental health. Moving down the street is no joke, let alone another state!
Therefore, note what you like and dislike about your current home and neighborhood so that when you search for a new home, you’ll know the features you want and don’t want to see in both the house and the area. This is the only way to make a change for the better. Have a fresh start.
Pro: No renovation stress
Moving allows you to purchase a house that meets your lifestyle or expands family demands without living in a construction zone. For some people, that’s reason enough to start packing their belongings and saying goodbye to their homes and neighbors.
Additionally, with the average remodeling costing around $46,503 in the United States and the typical gut and remodel reaching a whopping $150,000, relocation might save you a headache – and your bank account.
Con: Additional Moving Costs
While selling your house might help you grow equity and boost your financial portfolio, it is not free. In addition to the cost of the new property, there are several selling and moving expenses to consider. Home inspection fees, real estate commissions, and house repairs are just a few expenditures you may incur while selling your house. When you add hiring a moving company to these expenses, you might even come short a few bucks!
Con: High Stress Levels
Moving is the most stressful life event for six out of ten Americans, surpassing divorce or a breakup. Therefore, if you’re still on the fence about whether to remodel your home or buy a new one, you should consider the additional stress. Think about the following things: Do you have any career or family responsibilities that require your immediate attention? Could you manage the stress of moving while also preparing for other life events? If not, postponing the relocation and exploring remodeling instead could be a good idea.
Con: Your Dream Home Isn’t Around the Corner
Just because you decided to sell your home and buy a new one doesn’t mean you’ll find your dream home so easily. Looking for a new home can be extremely time-consuming, and you can struggle with finding a new home that fits your budget and needs. Therefore, you’ll most definitely have to compromise and settle for some things you didn’t want in the first place.
Moving to Your New Home
If you decide that buying a new home is a better option than remodeling the existing one, you’ll have to organize the relocation. Now, as we’ve already said – this is a highly stressful process. Between packing and loading, you’ll have to think about the transfer and keeping all your belongings secure. So, if you want everything to go according to plan, especially if you are moving to another state, the best idea is to rely on experts to handle everything moving-related. If the financial side of this undertaking worries you, know that there are ways to make your move cheaper. Choosing the cheapest time to relocate is a good start!
Remodel Your Home or Buy a New One: Renovation
While renovating is the most popular way of home upgrade in the United States, it does involve certain sacrifices for the homeowners. Therefore, we’ll go over what makes this such a popular option and some of the concerns that come with the remodeling process.
Pro: Customized To Meet Your Needs
If you already have a home that you love, remodeling it is the most convenient way to live in a home that meets all your needs. Remodeling allows you to personalize your existing home without the effort and worry of relocating. Even though you will be living in a construction zone for a while, you’ll end up with your dream home without having to move. Therefore, remodeling is a great way to make your existing home even more pleasant and appealing.
Pro: Boosting Your Home’s Value
Renovation is one of the best methods to significantly increase the value of your property, which equals more money in your pocket when you sell. Boost the value of your home with clever projects and upgrades, and your net profit might skyrocket in the future.
Renovations entail upfront expenses, but if you have money in savings (or are prepared to take out a loan), these upfront fees are usually worth it.
Pro: No Moving Costs
Moving is both stressful and costly. Why spend $10,000 on moving expenses when you could refurbish your living room and bedroom for the same amount? Moving costs are especially high if you only retain small equity from your house sale.
Con: Losing Money on Your Investment
Spending money on renovation is always a risk since not all home improvements are profitable. If you are remodeling primarily to boost the value of your property for ultimate sale, do your homework on which renovations provide the highest ROI. While a garage door replacement or basic kitchen remodel can repay 80 to 100% of expenses, big kitchen or master suite upgrades often offer far lower returns.
Con: Hidden Costs & Delays
Renovations rarely cost what the contractor initially quoted you. Some of the most frequent difficulties homeowners face throughout a renovation include structural modifications, building codes, and insect and rot damage. Set aside more than the initial price, and be cautious when selecting a contractor.
Con: Living In a Construction Zone
When you’re thinking about whether to remodel your home or buy a new one, you can’t overlook living in a construction zone. Renovations, like hidden expenditures, can take longer than anticipated. You will be living in a construction zone or potentially offsite during this period. This may be costly to your pocketbook as well as your mental health.
The Final Verdict
Now that you have all the information you need, it’s time to decide whether to remodel your home or buy a new one. The truth is, there isn’t one correct answer to this question. Every family should decide for themselves according to their financial and housing needs. So, what’s it going to be for you?
