To renovate or to move: 5 things to think about
It’s that age-old dilemma. You’re outgrowing your house, or it’s not quite giving you what you need any more, but do you put it straight on the market and find another? Or should you think, instead, about making a few changes around the place? Put simply, should you renovate or move?
In their recent Home Improvement Trends Report 2023, Rated People claim:
“1 in 6 homeowners who are taking on renovation projects in 2023 say they are renovating their own home because it’s cheaper than moving to a new home, and 1 in 7 say they have less money to buy a new home so they’re choosing a renovation project instead.”
But we wanted to dig deeper into why renovation is currently such a popular choice. That’s why we’re looking at five reasons you might consider renovating rather than a big move.
1. You’re worried about uncertainty in the housing market
With a well-documented cost of living crisis and interest rates rising through the roof, it’s easy to see why you might prefer to sit tight and hold onto your assets, rather than taking on potentially large loans.
So, to tide you over and create a house you’re happy to stay in, why not consider renovating? Tradesmen are reporting a rise in quotes for home improvement jobs, not to mention wholesale renovations or extensions in recent years. And while it’s also the case that many say they’ll need to put up prices, you should still find that when compared with the cost of a move, you’ll be quids in.
2. You’re settled in the area
Your kids are happy at school, you’ve got your social circle just around the corner and your aging parents down the road (close but not too close!). It seems a shame, then, to have to move just because your growing family is bursting out of the space you have available.
Instead consider what’s possible in terms of a single-storey extension, loft conversion or knocking through walls. Many local architects will happily offer a free consultation and site visit to talk about options. And they’ll even offer advice when it comes to planning applications and other issues.
Don’t assume that there’s nothing you can do to create the home of your dreams from your existing space.
3. You’re concerned about the costs of moving
From solicitor’s fees to removals men, everything costs money when it comes to moving house. In fact, Rightmove calculates that to move from a house valued at £450k to one costing £600k in the UK you’ll be looking at an eye-watering £34,100 in extra costs. This figure takes into account stamp duty, legal fees, estate agent fees and other costs such as someone to shift your belongings.
Just think how far that amount would go towards your renovation budget.
4. You know exactly what you’re looking for
Sometimes searching for a new house can be frustrating. Particularly if you know exactly what it is you want from the property but nothing that’s on the market quite matches up. Then why not create it yourself? Ask for a consultation with an architect or interior designer in your area to find out exactly what is possible with the footprint and space you have available. Consider a custom kitchen renovation, creating a bedroom in the attic or even building a garden room to offer additional family space. You’ll find that if you get the professionals involved they might come up with something you never even thought of.
And you might even be able to get pretty close to whatever it was you wanted in the first place…without the hassle and upheaval of moving.
5. You could add value to your home
By investing in improving your property rather than moving to a different one, you may find that there’s an added bonus down the line. Adding value to the property. So in the future, when it’s the right time to sell, or even to re-mortgage, you’ll have more equity sitting there waiting for you.
A single-storey extension, for example, or custom kitchen renovation really can put pounds on your property and give you a nice nest egg for the future. Not to mention a wonderful place to live in the meantime.
How much can a new kitchen add? Or an extension?
According to the Hiscox report:
“The biggest potential hikes in valuation come from extensions, where estate agents say the addition of a new bedroom could boost the average home’s value by 11.2% or £25,383…and when it comes to renovating, a new kitchen will typically add 5.5% (or £12,400 based on an average UK house price of £226,071) to a home’s value. In fact, over a quarter [of estate agents] (28%) believe a new kitchen can lift a home’s value by as much as 10%.”
So what do you think? Would you rather renovate or move?
If you’re considering a large renovation project and you’d like to find out more about including a Koivu kitchen, find out how much you’d need to budget, get in touch for a chat or send us your plans so we can get the ball rolling.