A sense of place is a concept that talks about the individual’s relationship to their environment. It provides a profound explanation in regards to the amount of intimacy we accumulate over the years and the special bond we form to our surroundings. Knowledge about this may come in handy, especially in times when the decision to renovate, upgrade or leave the place dear to us arrives.
There are several reasons that lead to this point: the experiences that the house offers have become saturated and stagnant, a good opportunity opened in another town, the constant increase in mortgage and housing prices in the area, as well as general unavailability of residential units in the market.
In conflicting times like this when choices regarding the home whether to renovate or sell as have to be made, it would be advantageous to equip yourself with the essential information that can lead to a sound, pragmatic, and informed decision-making.
The Pros and Cons of Moving and Remodeling
Compared to the prospect of acquiring a new property, remodeling the old house may not yield much excitement. However, it is significant to note that, in the long run, home renovation can be a more cost-effective strategy. This is due to the fact that moving from one place to another, together with the work and logistics it requires in selling the existing residential unit, is simply expensive.
Data from real estate revealed that, in recent years, the prices of homes have been in a constant upswing. According to CoreLogic, from the 2017 home-price index, housing prices shot up to 6.9% in 2018. On the other hand, the Federal Housing Finance Agency reported that, in the third quarter of 2019, the said home index figure rose to 4.9%
These numbers post a massive consideration when moving out and acquiring a new property. The old unit may generate a relatively high sales price: however, the probability of having more expenditures due to mortgage, insurance, property taxes, and other necessary logistics is higher.
When making a difficult decision pertaining to the house whether to renovate or sell as is, it is advisable to know these crucial points.
Why buying a new house and moving is a good option
Relocating from one place to another may be daunting: however, the decision may also yield a lot of positive results.
- Suitability and preference
Of all the perks that come with relocation, perhaps the most advantageous is this: it gives homeowners certain flexibility to choose the new location of the house. The decision to select may be based on a number of factors: the convenience that the area offers, the social system installed in place, better neighborhood compared to the others, good and easy transportation system, better education system for children, and availability of local activities that stimulate your interests.
- Comfort of not living in what can be practically considered as a construction zone
Home innovation such as kitchen and bathroom remodeling, as well as roofing replacement, can be invasive projects at times. Although these issues are generally short term, it may bring a considerable number of stresses to the family members. The amount of time needed to complete the projects varies depending on the demands of the works that needed completion as well as the obstacles encountered along the way. Roofing replacement, for instance, takes at least 7 days to complete. Interior remodeling, on the other hand, eats up to 2 months. Simply moving out can help avoid all these stresses.
- Better opportunities ahead
If done tactically, relocation can bolster opportunities and prospects for the future. There is a higher chance of snatching better employment in places where the employment rate is significantly low. Cities offer more opportunities than suburbs and small towns. In some cases, the resettlement may be compelled by the expansion of the company. The employee’s willingness to adjust is generally viewed by the management and executive as flexibility, which, in the process, boosts the employee’s chances of securing promotions and job tenure.
Why buying a new house and moving is not a good option
Though a change of location and acquisition of new property certainly have positive outcomes to offer, it is significant to note that it may also come with consequences.
- Higher cost to pay
Leaving the old neighborhood for a new one can be very expensive. This decision may even compel the selling of the existing property so as to afford a residential unit in the new city. Aside from this, moving also requires processing all things in advance: from conducting research to logistics.
Looking for new homes requires site visits, and this may cost an exorbitant amount of money needed for gas, transportation expenses, and hotel rentals. It must also be noted that new houses cost at least 25 percent higher than the old homes, excluding the amount needed for additional facilities, preferred amenities, luxuries, and essential upgrades.
- Emotional and psychological stresses
Perhaps one of the most challenging aspects of property buying and relocation is the stress it brings. Transferring to a new place means leaving behind family members, friends, familiarity and comfort, old customs, as well as every aspect of our daily lives that we have grown accustomed to and fond of. It must also be noted that these emotional and psychological stresses are not exclusively confined to the individual alone: the kids may also suffer the consequences that leaving the familiar spaces might bring.
Less character and charm
There is a high probability that new homes, compared to the old ones, have less charm and character. The architectural details may not be as exquisite as the ones left behind. It may not have the atmosphere and glamour that the old American craftsman-style or Victorian-style home generally boosts. This is due to the fact that contemporary properties, unlike its predecessors, are designed and built with functionality in mind, hence sacrificing the allure of the bygone past.
Why remodel instead?
Homebuyers must bear into serious consideration a lot of factors when deciding whether to purchase a new property or choose home renovation instead. Certainly, new homes offer a lot advantages such as energy efficiency and customizability. However, this decision comes with accompanying drawbacks. This is precisely where remodeling falls into place.
- Greater freedom in home design
Between the decision to renovate or sell as is, it cannot be argued that remodeling gives more space and greater autonomy. Renovation gives homeowners the leeway to choose exactly how the property will be constructed in a way that suits their preferences, needs, and everyday lifestyle. This also allows personal touches to be added, such as window trims, kitchen and bathroom remodeling, roof construction, and garage conversion. The self-governance and autonomy it offers stand in stark contrast with simply moving to a new place that might not be designed to suit the homeowner’s personal liking and partiality.
- Increase in the market value of the property
The decision to renovate, upgrade, and add other essentials to the house has an accompanying cost: however, once remodeling has been done, the property’s home value is bound to increase. For instance, HomeGrain reported that interior house painting results in 107 percent return on investment (ROI). Exterior house painting, on the other hand, yields 55 percent ROI. In some instances, such as the modernization of the kitchen and bathroom area, this value can be significant. Upgrades in roofing and porch installations bolster the property’s appeal to the market. In the process, this adds equity and help secure a better remuneration.
- Helps reinvent mindset and improve the overall quality of life
Home renovation does not only mean upgrading the materials and components of the place: it also means enhancing the quality of day to day life. This improvement may be more subtle: an additional deck installed at the back of the house, for instance, will not only facilitate relaxation but also provide another venue for friends and families to bond. Changes in the color and materials used in home exteriors and conversion of the basement area for an extra room can help in building passive income. Other accessories such as whistles, dream catchers, and handmade curtains can also help in stimulating a more pleasant and tranquil environment.
- Long-term benefits energy efficiency and additional room
Home innovation is actually bound to generate financial returns in the long run. For instance, changing the old, drafty window of the place and installing an energy-efficient one will indubitably lessen the average monthly expenditures on electricity. Replacing the hot water heater can also bolster home efficiency and these upgrades can always be maximized for an annual tax credit.
Aside from this, having an extra bedroom will indubitably benefit a growing family. Instead of incurring double expenditures in renting a new place, home remodeling can provide the space that can facilitate both familial comfort and bond.
Quick statistic on home remodeling
Determining the best option for home innovation, as well as the strategies to ensure the maximum benefits from such an undertaking may seem daunting. In making such a decision, it is always wise to consult the numbers and statistics. A survey conducted by a poll of realtor regarding property renovation revealed the following:
- 75% of homeowners felt a major sense of accomplishment at the thought of completing a remodeling project
- 64% of homeowners experienced a significant increase in home satisfaction and enjoyment after the completion of the remodeling project
- 54% of homeowners are happy about the alterations made to the property
- 38% of homeowners expressed interest in upgrading well-worn surfaces, finishes, as well as other essential home materials
- 17% of homeowners are considering adding features in their homes as to enhance the quality of the space and improve the livability of the place
- 13% of the homeowners believed that the time for home innovation has arrived
Property upgrades certainly require a lot of consideration, and this is precisely why Oran Remodeling places customer care and satisfaction on top of its priorities. With more than 25 years of concrete experience in interior design, architecture, and home innovation, the company recognizes the intimacy and value we placed in our homes and commits to providing nothing but excellent performance.