When to Renovate and When to Move
June 23, 2022
Many people find themselves needing to change their surroundings for a variety of reasons. If you ever find yourself weighing whether to renovate your home or move, ask yourself these questions for a better understanding of which option is a better choice for you.
What made you come to this decision?
There are many motives behind wanting to renovate or move houses. Maybe you need a change of scenery. Or is your home in an inconvenient location?
Taking note of your reasoning is an important first step. You then have to ask yourself if making a renovation to your house will solve the problem.
If you need a fresh change of scenery for example, you would be surprised at the difference a budget-friendly renovation could make to your home. On the other hand, if your house is located far away from work or a good school district, moving might be a more serious consideration.
Is now the right time?
One aspect of timing out a move is where you stand personally. Are you in a financial position to start a new mortgage? Do you have a family to take into consideration if moving to a new area?
Another important element, is researching what the housing market looks like. This should be looked at from both a buyer and seller’s point of view. It’s true, you will be looking to buy a house, but that means you also have to sell one.
If demand is high for example, chances are selling your house at a desired price will be attainable. On the flip side, buying a house at this time could be more competitive and expensive.
Which choice will cost you more?
For most, cost is a major factor when deciding whether to move or renovate. Begin by deciding what renovations are needed for you to stay at your current house. Calculating these costs will give you a good starting estimate.
Compare this estimate to the costs involved in moving. A few factors to consider are new monthly costs and mortgage rates, transportation of household items, and any possible maintenance work needed on either home.
Additionally, a factor you may want to consider when making the decision to move or renovate is the appreciation your home may have after making renovations. Often times, bettering a house with renovations will increase its selling price down the road.
With a variety of special services and offers, MSUFCU is here to help with whatever your home ownership decisions might come to. Visit msufcu.org/mortgage to learn more about how MSUFCU can play a factor in your move.