Sell or Remodel?

 

Should I sell now or remodel?  That's a popular question these days as the economy is beginning to improve.  Home sales have definitely increased and along with low inventories, prices are starting to go up also.

 

If you purchased during the height of the market, however, you probably still have a way to go before you will recapture a significant amount of equity lost during the recession.

 

These are some questions you should ask yourself:

 

1.  What is the primary reason that I would like to move?

2. If I did move, what would be the top 3 things that I would want in my new house that I don't have now?

3. If I could have at least 1 or 2 of those things without moving, would I be ok with staying here a few more years?

 

Remodeling can be expensive, but selling and then buying another home can be too.  I was in this situation myself recently and due to the recession had lost a lot of equity in my home.  I love my home, but there were things that I definitely would want if we moved out of it.  One of them was a decent master bedroom closet!

 

The closet in my master bedroom was miniscule to say the least.  I had always dreamed of having a huge closet and while I was dreaming about it, I envisioned a master suite that made me feel like I was on vacation.

 

After sitting down and crunching the numbers, I decided to do the remodel.  I now love my home and am content to stay for several more years.  My remodel was expensive, but even so, we are happy and believe that it would have cost us a lot more to move.

 

Everyone's situation is different so I encourage you to speak to a real estate professional who will tell you if you are over-improving for your neighborhood, guide you into choices that will not hamper a future sale and to give you a referral to a reputable and dependable contractor.

 

NancyPuder is the broker and owner of Signature Properties, a prestigious real estate sales and management firm in Arroyo Grande, CA.  You may contact her at Nancy@NancyPuder.com or (805)710-2415 Your calls are always welcome!