If you’ve felt the itch to make a change with your home, take some time to think it through. If you list your home and it sells quickly, are you prepared for what’s next? Are you prepared to live in a demolition zone for a while if you remodel? The decision to remodel or move is significant; it can impact your finances and your happiness!
Consider the following:
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- Location: Are you currently in a neighborhood that suits you and your family? Are property values in the area holding or increasing in value? The old saying is that the top three most important considerations when buying a home are location, location and location. Would you give up a few luxuries to be in a great neighborhood? If your current area isn’t ideal, are homes for sale in your preferred place? Or are there lots for sale in your desired neighborhood?
- Finances: The total cost of selling and buying a new home includes many unexpected expenses – agent commissions, title insurance, appraisals, etc. Also, consider the cost of moving and check to see if the new home is in a higher property tax area. Remodeling costs will include permits, architectural planning (large remodel), labor, and materials. Consider how you will finance the new purchase or remodel. Do you want to start a new 30-year mortgage? Will you apply for a cash-out refinance? If necessary, there are many ways to structure your loan, but keep in mind your total debt, equity, and monthly budget.
- Real Estate Market: Many factors can affect the real estate market, including the time of year, interest rates, supply and demand, and the economy. All these things can dictate the price of a home and if an investment in your current home, or a new home, is the right decision.
- Emotional Attachment: You’ve made memories in your current home and probably have an emotional attachment. Would it be hard to leave, or would you be excited to make new memories in a new house?
If you choose to remodel, build a new home, or even fix up your existing home to prepare it for listing, Northfield Construction is here to help. We are known for quality craftsmanship and will help you turn your existing or new house into your dream home.