The Renovate or Move Debate

Deciding on the right course of action for you and your loved ones is never a black and white situation. A wise person once said there is never a right or wrong answer in life – there are only different types of trade offs. This is precisely the issue at play with the renovate or move debate that homeowners have to face once and a while. The merits of such a discussion are augmented in the San Diego real estate market which is increasingly becoming a hot commodity. If the limitations of space are really becoming an issue, then something simply must be done.

In the interest of bringing some clarity to the debate, here are some of the often overlooked trades you will have to make either way.

The Renovate Argument

Foremost among the renovate argument is the convenience point. It should, in almost all circumstances, be easier on you and your family to renovate the interior than to pack your bags and move houses. Convenience is a bigger factor for some – namely those with a family of young kids in school who would really be displeased with changing schools and having to make new friends. So the convenience of staying put is alluring for a lot of people and induces them to put their savings into a renovation or addition to increase their comfort and convenience even more!

Selling Could Be More Lucrative Than A Reno

But convenience is not always the most important factor. On the point of finances, sometimes it is the better financial move to sell the home and leverage the earnings into a downpayment for a larger home that just works better on all fronts. The financial trade-off is a major deciding factor for all homeowners, and really must be looked at closely. If you get a strong agent in San Diego who can upsell your current residence and make a few extra thousand, perhaps you can stand to make a profit on the whole transaction!

The costs of a renovation or addition should not be overlooked. Will you need to take out a separate loan to cover the costs? That leaves you with a mortgage payment and a loan payment to make each month, thus cutting into your potential savings and also diminishing your quality of life for a couple extra rooms.

It also could be that adding extra rooms is not the solution to the problem in the first place. Maybe you have just grown tired of the area and need a change of scenery to keep things exciting!

To conclude, home owners need to make an extremely accurate calculation of the costs of a renovation before they assume it will be worth it. In most cases, leveraging the sale of your home for a larger property elsewhere in the Bay Area is the smarter financial decision.

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