Moving or remodeling: it can be a very difficult (and big) decision to make. All you know at this point is that you’re unhappy with your home and something has to be done. Maybe it was your first home purchase, and your budget was limited and it was a starter home, and now you need more space. Or maybe it’s an older home and you want something newer. Perhaps it has potential to become the home you want to be in, but then again, it could be easier and cheaper to simply sell and find a new home that meets your current needs. Everyone has their own reason for wanting a change, but now you are trying to decide whether to remodel your current home and stay put, or just sell your home and find something else. As you explore your options, consider the following:
The amount of change needed
Is your home really only missing just one or two things? Even if they’re pretty big projects, don’t let a single (or a couple) renovations stand in the way of keeping your home, especially if you’re happy with the area. If you’re already that close to your perfect home, finding another home that you’re happier with can be challenging, and may not be worth all the hassle. On the other hand, if you’re talking about an extensive amount of work that needs to be done—as in, a total home makeover—you have to really ask yourself if it’s worth going through all the trouble, or if it will even be possible to achieve the home you want. Depending on your budget and timeframe, you might just be better off finding a different home that already has what you want.
It’s important to not only consider how you’re feeling now, but consider how things could unfold in the future. For example, if you don’t have children, but you’re planning to one day—what are the schools like in your area? Do you have enough space in your current home? Is the neighborhood a good place, overall, to raise a family? If you can envision your children growing up in the house you currently have, remodeling might be the way to go. But if the school district isn’t the best and you’re already running out of space as it is, remodeling might not really solve your problems. Perhaps you’re in a completely different scenario: maybe you’re older and looking for a place to comfortably retire in. Is your current home fit for an older individual’s lifestyle, or does it present some challenges? Are a lot of retirees also in the area, or is it a much younger crowd? If retirement is right around the corner and you current home just needs some remodeling—nothing major—and you live in an area with plenty to do and a variety of activities for retirees, staying put might be the best option. Otherwise, it could be time to move on.
It’s one thing if your home is outdated and you just want something modern, simple, and updated; finding a newer home likely won’t be a problem, and if you don’t have a specific look in mind, there’s a good chance you can find something you’ll be very happy with. But if you have a quirky style or really specific taste, it’s highly unlikely that you’ll find a home that has what you’re looking for. In this case, remodeling your home will usually be your best bet. However, be aware of making very unique renovations that might turn off a lot of potential homebuyers in the future. Even if you don’t plan on selling your home after you renovate, you might later on one day. If you have a lot of renovations that are far from traditional, it could be difficult to find a buyer without taking a loss.
If you’re up for the challenge, getting your dream home—all while staying within your budget—could mean selling your current home, buying a fixer-upper that has the structure for your vision, and then remodeling it. After all, you might want actually prefer (or even look forward to) remodeling a home so that it’s customized just the way you want—but your current home simply doesn’t have the potential to be turned into what you’re looking for. Buying and remodeling a different home could the solution you’re looking for.
Getting an estimate
Do you know for sure exactly how much it would cost to make the renovations you’re considering? If you are leaning towards staying in your current home—or even purchasing a different home and making some renovations—get estimates first. It can be easy to overlook the costs of renovation projects, and oftentimes, the cost exceeds what homeowners expected to spend. By having a fairly accurate estimate for your home remodeling, you can make a more informed decision as to whether staying or moving would be in your best interest.
Time for a change?
Whether you’re remodeling or renovating, you’re in for a change. But moving usually means a much bigger change, because you’ll be in an entirely different home, and perhaps in a different city or state. Are you ready for this type of change? If it’s a big move, are you ready to find a new job, meet new friends, and deal with all of the other transitions that go along with relocating far away? Some people embrace change and seek it out, while others prefer to avoid it. Ask yourself whether you’re ready for a big change in your life right now, and what level of change you’re ready for.
Are you receiving structured settlement payments, but would prefer to receive your money sooner and in a lump sum payment? Whether you need cash to buy a home, or the money to remodel your current home, Peachtree Financial Solutions is here to help. At Peachtree, we help payment stream recipients get their money faster. If you’ve been receiving structured settlement payments, but can no longer wait for them to arrive, Peachtree offers more convenient solutions. By selling all or even just a portion of your future payments to Peachtree, you can receive your money faster and in one lump sum.
Nothing above is meant to provide financial, tax, or legal advice. You should meet with appropriate professionals for such services.