To Upsize or Remodel: The Best Solution for Your Family
Thinking of upgrading your life? The options most homeowners consider are either upsizing to a new home or remodeling their current. There are pros and cons of each. We want to help you determine which is the best route for you as you upgrade your life through new and improved living space. Whether you are upsizing to your dream home or your next step up for your growing family and flourishing lifestyle, Mark Spain Real Estate is here to help you find that new home and alleviate any worries about the closing of your prior home. But first, let’s consider your “why” behind going the upsize or remodel route. Often, simply identifying this reason can help shape this big decision for many homeowners!
Why Should I Upsize?
Are you a part of a multigenerational household and need a floor plan that accommodates the realities of your family life? Maybe you are expecting a new baby and are looking to convert the perfect space into your little one’s nursery. Have you recently received a promotion, and with it the opportunity to consider purchasing your dream home? There are a variety of factors that drive homeowners towards dreaming of an upgrade, whether it’s via square footage or a more open floor plan. Try to identify what your primary reason is. Then look at the space you currently have and determine what it would have to take to transform that space and make your new dream a reality.
Should I Remodel?
You love your community, location, and school. You are close to work, get along well with your neighbors, and are in a great school district for your children’s education. Additionally, you wish to avoid the headache and added expense of moving. Are you wondering: Who wants to be sifting through old junk, packing up boxes, taking time off work, and/or paying a moving company? What if there is a bigger mortgage payment with a larger home, tax increases, and higher utility bills? It can be hard to take the risk and leave that all behind. Often stepping away from what is comfortable and predictable in your current home can open up to the lifestyle you have always wanted. Maybe remodeling is the right route for you, but maybe upsizing to a new house is your best next step. Let’s look closer at the reality of remodeling in the home you already feel comfortable in.
The Reality of Remodeling
Before you jump into an extensive remodel project, consider this: If your home needs a complete overhaul to make room for a growing family, a remodel job is not ideal. If you do not have a substantial nest egg, remodeling could require a homeowner loan or personal loan. It is important to really consider whether the investment will pay off further down the road.
Remodeling also means your home could be in disarray for weeks, months, even years, depending on the amount of work needed. This could mean spending money on a hotel while the renovations are being completed. The remodeling process can be stressful, disruptive, and loud. Remember, if your home increases in value after you have paid the contractors and shelled out thousands for an extensive remodel, your taxes are likely to increase as well. Be sure that you can afford the added expense. It is typically inevitable that you will run into obstacles along the way during a remodel, and the remodeling is likely to cost more than the initial quote. If you have ever watched a remodeling show on TV, remodels tend to take longer and cost more than initially thought. Make sure you are truly up to the task, financially, physically, and mentally.
A Growing Movement
We recently spoke with one couple who bought their first home over a year ago with the sole intention of building equity, building up their credit score, and waiting for the optimal time to upsize. They looked at the house as an investment in their future, not as a permanent place of residence for the next 30 years. They bought the house they could afford, knowing full-well that the tiny kitchen, living room, and small cramped bedrooms and bathrooms would not be sufficient when or if they decided to grow their family.
According to research, their story is not unique. Millennials and Generation Xers are part of a growing movement to opt for upsizing rather than remodeling. With growing families and increasingly busy calendars, they often opt for upsizing over the headache of an arduous remodel project. Beyond the financial implications, homeowners are considering the stress level associated with both upsizing and remodeling and often leaning towards the sale and purchase of a new home with the right realtor.
Mark Spain Real Estate will also help you consider your return on investment, closing fees, and moving costs. You could also consider remodeling your current home while you move into your new home, making improvements to your existing home at your convenience without lifestyle disruptions, and then reselling later on down the road.
Why Should I Upsize Rather Than Remodel?
Upsizing to a home with that open floor plan you have been dreaming of entertaining in or with the additional square footage to accommodate your growing family can often be the best option for many homeowners in this market. With a hot buyers market and vast inventory available, finding your dream home is well within your grasp. We find many folks find greater levels of happiness when they take the leap and purchase a home in the better school district, or in the neighborhood with the desirable amenities, or in the location offering more land and green space. Knowing what brings you and your family peace and ease will help lead you to the right next home. Our team will help you get there! However, there are real financial implications to a remodel or move. We want you to understand those and ask the right questions as you embark on this journey.
What Real Estate Factors Should I Consider When Upsizing?
Size and location have a massive impact on your real estate investment – both in terms of initial cost as well as long-term value retention. Start by asking yourself and your partner these questions:
- Is bigger actually better?
- Why do you need the extra space?
- Are you prepared for the financial costs of upsizing to a new home?
- Have you thought about the home’s upkeep and the resale value?
- Consider the neighborhood, what are its pros and cons?
- What if you were to move further away from the city, would there be larger homes for a better value?
Choose the home and location wisely. Do your research about the house’s future value. Next, consider the perspective of future buyers. You may decide to sell the home you are currently upsizing to. Sometimes, moving away from the city results in more affordable upkeep and a larger home for a more desirable cost. Do the research to understand how your taxes will increase or decrease based on your desired location. Consider HOA fees and how that will factor into your monthly costs.
With your Mark Spain realtor, research properties sold within the neighborhood when first built versus today. How do they retain their value? Are you purchasing a wise investment for today and tomorrow? If the answer is no, then remodeling your current home in a more desirable location may be the best next step. But be sure to consult with your Mark Spain agent. Let us assess these important financial implications with you and help you head in the right direction. We are your trusted resource on all things home buying and selling, so let us help you!
Upsizing your home can be a great investment, one that will pay off in spades down the road. Just remember to think about your goals and how they align with your current living situation. Some may need to upsize to take care of their aging parents; others, like the young couple, might simply want the extra space. Your home is your sanctuary, the one place that is truly yours. Make sure you upsize to a new home that is the right match for you. Allow Mark Spain Real Estate to help you find your dream home today.
Learn more about whether you want to upsize or remodel to ensure you have the best return on investment. Close the deal and sell your current home for the home of your dreams. Do you have questions about the process or where to start? Whatever your reason may be to sell your current home, Mark Spain Real Estate is here to help. Contact us today to enjoy a stress-free head start.