To sell or to renovate your house, that is the question!
by Multi-Prêts Mortgages
What you’ll learn
- Hidden possibilities
- Shopping around
- The financial aspect
Is your residence no longer suitable for practical reasons, or is it the look that is to blame?
Whether it’s the design and layout that are bothering you, or it’s simply that your needs have changed, you’re faced with a choice: sell your home for a better one, or stay put and renovate.
To help you make a decision, here are five questions you should ask yourself.
Does your house have hidden possibilities?
Before looking elsewhere, you’d be wise to explore the possibilities your house offers. An interior designer or an architect can help you discover the building’s full potential. In certain cases, reconfiguring the space could help add a room, if that’s what’s needed. You can also make certain spaces larger to live more comfortably once the children leave home, for example.
Sometimes, all that’s needed is a few small design touch-ups to change your entire perspective.
Read our article to find out how to find a good interior designer.
Are you ready to live in a construction site?
If you decide to go for renovations, you’ll have to live with a few inconveniences during construction. For major changes, it’s wise to plan for delays. Can you live with dust and workers constantly coming and going for several weeks?
The same type of question applies to a move, which implies packing, changing your address, and so on.
It’s up to you to see which scenario your family is most comfortable with.
Would you rather shop for a house or a contractor?
Whether you’re selling or renovating, you’re not going to avoid shopping around. Although that’s par for the course, when purchasing a new house, many homeowners don’t think to shop around carefully for a contractor.
It’s recommended to get at least three detailed quotes, and to refrain from making your choice solely on account of the price. Ask for references and examples of previous work. Ask them how they plan on going about these renovations.
A trustworthy contractor with a slightly higher bid may well wind up costing you less in the long run.
Have you taken all financial aspects into consideration?
Aside from the mortgage broker who works for you for free, a move can be more costly than you think.
We also tend to overestimate the added value of certain renovations. If the renovations improve the home to a point that it is vastly superior to the other homes in the neighbourhood, it may be hard to get a decent return on your investment.
As a general rule, if you’re looking to create good added value for your property, your best bet is improving your bathroom and your kitchen. On the other hand, you’ll want to avoid landscaping or building a wine cellar.
And where does sentimental value fit into all this?
A house where you’ve spent a part of your life often represents much more than a simple building. Over time, you develop a sense of belonging to your residence and your neighbourhood. A recent study even claims that 70% of homeowners who consider moving wind up changing their mind for emotional attachment reasons.
Regardless of your decision, meet with a mortgage broker to find out more about your financing options to buy a new house or take on a renovation project.
- An interior designer or an architect can help you discover the building’s full potential.
- Whether you’re selling or renovating, you’re not going to avoid shopping around.
- If the renovations improve the home to a point that it is vastly superior to the other homes in the neighbourhood, it may be hard to get a decent return on your investment.