Deciding to Move or Improve

Deciding to Move or Improve

Should we move or should we improve? This age old question is one that ultimately arises when contemplating a renovation. While somewhat protected in the Washington DC market, for the rest of the country, the question becomes even more challenging in today’s economy with lots of factors to consider.

For most, it seems like overnight, the house suddenly feels too small or too large, or your family needs change.  Sometimes an older home’s layout doesn’t suit your particular needs, or maybe you have been in the house for a number of years and it’s time for some cosmetic changes. These are just a few of the most common reasons why people consider change.

In meeting with people facing this decision, we advise them to take some time to themselves, sit down with a pad of paper in hand and create a two-column chart. The first column should list all the factors that would play into a decision to move. Personal factors include your neighborhood, schools, and commute. Budget factors include moving costs, real estate commissions, repair costs of your old and new homes, decorating expenses, possible changes in interest rates, and finally the additional cost of the new mortgage. Don’t forget to factor in time—time spent looking for a new home plus time spent selling yours.

In the second column list all the factors that would play into a decision to improve. Many of the personal factors listed above will remain the same, list them. List your likes and dislikes about the house.  Determine what it would minimally take to make your home more functional and what would be your most extravagant dream home?  How long do you intend on staying in the house? What are your families’s evolving needs going to be?  Budget factors will have many variables; how much you are willing to do yourself and how much will the neighborhood bear are starting points to establish a budget that is comfortable for you. Many newsstand home improvement magazines discuss costs of typical projects based on regions of the country.  Use these as tools to help determine if the budget you have established for yourself jives with the reality of market cost. What is your borrowing power? What will your involvement be in the process and finally, again, don’t forget to factor in time—time spent selecting a designer/architect, contractor and products, and time spent under construction.

The next step is to assign value to each factor on a scale of 1-10 and then total each column.  While it may seem simple, this logical process is only a starting point.  It cannot take into account the emotional reactions you will have to either experience. Both moving and improving can be an adventure or a headache, depending on how you look at it. How flexible are you and what your tolerance level is–may actually become factors in your chart.  Don’t let the possibilities overwhelm you, use this as a stepping stone to open conversations about what works best for you!