Renovate or Buy

Whether you have outgrown your existing home, or you’re looking for a larger or modern home, you might be weighing up whether to renovate your present house or buy a new one.

It may make more sense to renovate than to move if your property is unique in its location, size or design qualities, or if you love your home but it’s just not big enough.

Renovating is a great way to get the house you want. You have the freedom to add design features that suit you and your family whether it’s for an addition to the family, the ensuite you’ve always wanted or a games room for the kids.

The aspects of a house most likely to capture buyers’ attention are bathrooms, the kitchen, entertaining areas and landscaped garden spaces.

Benefits of Renovating:

  • You can stay in the house that you like and make improvements according to your individual choice and style
  • Your renovated house may be worth a lot more in the real estate market
  • You can avoid the costs associated with selling (such as stamp duty, legal and agency fees).

Benefits of Buying:

  • Buying a new home is usually quicker and easier than undertaking a renovation
  • When you buy you know exactly what you’re willing to spend and choose a house to meet your requirements
  • You can avoid the risk of improving your current home beyond the increased value you might get from the sale of the home.

Before you make the final decision, look at the real estate market, get an appraisal on your house and look at prices of houses that you would consider buying instead. Ask a construction professional what your desired renovation is likely to cost. A small investment in good advice can really pay off when you decide to sell your home in the future.

Whether you decide to renovate or buy it is important to remain focused on your finances and more importantly, choose the right loan.

^Paul – Lending Services Manager