It's a brand new year again and most people often want to start their year with a fresh beginning. While some of you may be considering getting that much needed boost at home, how do you know whether it's time to renovate or if it's time to bid your humble abode farewell and move to a new house?
Moving to a new house can sometimes sound like a pretty terrifying experience for some. For most people, their current house is filled with memories that can be traced back to their childhood years. Your current house may be one that you got for yourself when you got your first paycheck or when you and your husband got married.
True enough, the house you're currently living in holds a certain amount of sentimental value; but are you still getting what you want and need from it? Let's take a look at some things to consider when you're deciding whether you should renovate or move out.
Should you renovate?
Cost is one of the factors to consider when it comes to renovating. Realestate.com.au stated that renovation costs should only be 5 percent of your purchase price, realestate.com.au reported.
This means that if you purchased your home at $250,000, your renovation costs should not be more than $12,500. Also take into account that this cost covers council fees, which may vary from one city and state to another.
The publication stated that one should opt to renovate only if the renovation would increase the resale value of your property, it would contribute to a better standard of living, and if it would cost less to renovate than to move out.
Is it time to move to a new house?
If the cost for renovating your current house is greater than the cost for moving to a brand new house, then it would be wise to just opt for the latter option. According to Trulia, if your current home no longer caters to your needs (growing family, compromised safety), then maybe it's time to move out.
