Many couples eventually outgrow their first homes – their incomes may have increased over the years, their family begins to grow, their priorities of what they want in a home evolve.
The big decision for most is to renovate their existing home or move? There certainly are pros and cons of both. What is the right decision depends on how you look at it.
Some of the advantages of renovating are:
1. You don’t have to pay all the costs of moving – land transfer tax, lawyers fees, real estate fees
2. If you love your neighborhood, your lot, and neighbors, you are guaranteed for those things to stay the same.
3. You can sometimes renovate in phases so you don’t have to do the entire project all at once. For example, you may start with a new kitchen or bathroom, and then down the road, add your family room addition on the back.
4. All the conveniences that you know in the area will be maintained.
Some of the advantages of moving are:
1. You don’t have to find an interim location to live while you renovate.
2. You can most often time the buy and the sell of your home to happen simultaneously so less risk
3. You have more control over the costs – most renovations run at least 25% over what was budgeted and take longer than anticipated
4. It may be an opportunity to upgrade the neighborhood that you live in
5. It typically is less expensive to move and you do not usually get all the money out of a renovation
6. You know exactly what you are getting when you buy a home that already exists
It is important to sit down and really weigh the pros and cos before making this important decision.