Almost every homeowner will face this decision at one point in their lives: remodel or relocate? Whether your house is a recently empty nest, is outdated, or you desire to make the house fit your aesthetic taste and lifestyle a little better the decision to remodel or relocate should be evaluated very carefully so you make the wisest choice for you and your family – both financially and emotionally.
Should We Remodel or Relocate?
Here are some of the things to consider when deciding whether or not to remodel or relocate.
Know You’ll Rarely Make Your Money Back. There is rarely a remodel that will earn 100% of your money back. In fact, Remodeling Magazine’s annual Cost vs. Value Report for 2014 cites energy efficient front doors as the wisest replacement item, gaining just shy of 97% of their value back in resale. Hm. Front doors are important when it comes to curb appeal, but they certainly aren’t the reason why you’re remodeling, right?
After the front door, the average ROI on typical remodeling and renovation projects are as follows:
- Wood Deck Addition: 87%
- Attic Bedroom Addition: 84%
- Minor Kitchen Remodel: 83%
- Master Suite Addition: 66%
- Bathroom Addition: 60%
So, there are some of the official numbers. However, what those ROI figures don’t take into consideration is the enjoyment a remodel provides while you’re living in the home – those factors are priceless. Plus, homes that are updated with timeless design elements are much quicker to sell, another major bonus.
Are You Looking to Downsize? If your home is simply too big for you, a common occurrence when the last of your little birds flees the nest, you may be better off relocating and using a remodel to make your new home more decidedly yours. There is nothing that remodeling can do to shrink your home. However, I will say that with the rising costs of long-term healthcare for seniors, many couples are starting to think about remodeling an area of their home into a studio or one-bedroom suite. These make wonderful guest spaces when family and friends come to visit and can transition into a caregiver’s living space down the road so couples can affordably age in place.
Remodels Are Typically More Affordable Than Buying a New Home. If you are simply exasperated with your current home and feel like moving is the only way to get what you want, consider that moving is more expensive when you analyze dollars spent per square foot. It can be hard for homeowners to see the potential in a home they have lived in for years – or decades. I recommend scheduling a consultation with an interior designer or three to see what they have to say. You may find your “Wish List” is largely attainable with a well-designed and executed remodel.
Moving Often Means Remodeling Anyway. Keep in mind that it’s very rare that you’ll find a home that is completely turn-key. In most cases, you are going to need some new coats of paint, new flooring in all or some of the house or there will be bathroom and/or kitchen fixtures you’ll want to replace. If you decide not to remodel your own home, going through the hassle of selling or renting your house, buying a home and then remodeling anyway may mean you were better off staying put in the first place.