Remodel or Sell? How to Reach the Right Decision

Selling your home is rarely an easy decision. Our homes hold family memories, and that makes it tough to leave. It’s also likely your most significant financial asset, and you want to be confident you can maximize its value.

The process of selling your home may feel overwhelming, expensive, and inconvenient. But consider the alternatives: tolerate your home in its current condition or hire an architect or contractor to tackle the renovations.

Though neither alternative is ideal, the latter choice is almost certainly going to be equally, or even more overwhelming, expensive, and inconvenient than selling. Costs for new kitchens and additions can run into tens of thousands of dollars and more, and furthermore, there’s never a guarantee the work will finish on time and budget.

So, which way should you go?

Obviously this is a personal decision, or a collective one between you, your partner and family. However, there are some factors listed below that homeowners should consider when making their decision. After thinking them through, if you are still unsure, reach out to any of our experienced agents who can offer practical, valuable advice.

Professional Realtors know what buyers are looking for right now and how much your home is likely worth – both before and after any remodeling. After looking at your home, they can identify the types of improvements that will yield the highest return on your investment. They also have access to the current inventory of homes that are available in your price range, including pre-market properties that are coming soon. The more you know, the easier it will be to decide.

Structural issues: There is a solution to pretty much every problem, but a continually leaking roof or basement and increasingly uneven floors and cracks in the walls could be sings that the structural elements of your home are deteriorating and you need to act. You’ll likely to need to make structural repairs first, and in many cases they will blow your budget for that new kitchen.

You intend to stick around: You can always find a new home in the neighborhood. However, if you favor a renovation, be aware that upgrades offer the best payback when you sell within a year or so of the work being completed. Your new kitchen doesn’t stay new forever.

Big squeeze: Your current home is getting too small. You’ve got the option of building an addition if your lot is large enough, but that means you’ll have to battle the planning process as well as the stress of selecting an architect and contractors. A new home might be a simpler option here.

Living in the 70s: Many owners who take the upgrade path want to modernize their home. They’re fed up with the rabbit-warren design of small, disconnected rooms and yearn for open-plan living, plus a new kitchen and bathroom. Making such fundamental changes are expensive so it’s always worth checking out the prices of more modern homes nearby before going ahead with a renovation.

Dead space: Poor design can result in some rooms being ignored, either because of their size or their position relative to the main living areas. Real estate is not cheap and neither are utilities to heat and cool this unused space, so this is very wasteful. If fixing the problem is expensive, moving to a new home might make better sense financially. In some cases, this might mean moving into a smaller home with better designed space.

There are many advantages to selling and moving to a different home. A new home will feel like a fresh start. Smaller improvements could be made to your new home before you move in, saving you the hassle of living through major renovations.

Whatever you decide, our real estate agents have the expertise and experience to help you reach your real estate goals and deliver the best possible outcome in any situation.

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