Sell or Renovate?

A question that often is just as much a matter for the heart as it is for our heads - to renovate or sell? A move can be an expensive process but a change of scenery can be revitalising. On the other hand, sprucing up your current place can be rewarding and add long term value to your home.

Put your lifestyle on top of the list. What do you love about where you are? Will moving give you something more?

Selling your home and buying a new place is a major step and you should make sure you know what’s involved before taking the plunge. Here are our thoughts on the benefits of making the call to move house.

1. That shiny and new feeling.

Anything seems possible when you move somewhere new. It’s like a little injection of optimism, and that’s a buzz that’s hard to beat. When you start fresh in a new home, there’s the chance to become part of a different community, explore places you’ve never been and expand your social network with new friends.

2. An opportunity to declutter.

Old home not bringing you joy? Time to de-clutter! Moving house might be the best possible way to give yourself a clean slate. We all dread it but you’ll need to sort through years of accumulated stuff, sell the good bits online and hire a skip. But, at the end, you’ll have a clutter-free home and even a few extra dollars to shop again.

3. It’s easier than a renovation.

Reality TV shows make renovating look easy – an extension in eight weeks, a sparkling new bathroom in a day and a fancy butlers pantry in your new kitchen.

However in the real world, renovating can be a bit like an overdue and painful visit to the dentist. There’s lots of drilling, no one will tell you exactly how much it will cost and you have to wear special glasses to avoid hurting your eyes. Even if you manage to find a budget-friendly architect, a reputable builder and reliable tradies, the actual work is noisy, disrupts power and water, and almost always takes longer than expected. On the other hand, you can probably just walk right into your new place and have a hot shower in peace.

4. You are clear on the costs involved.

Of course there are a variety of costs involved in moving to a new home. You’ll be up for stamp duty, removalist fees, legal fees, agent’s selling commission on your old home and potential bank fees associated with your new loan.

But at least you know what you’ll be up for. The cost of renovating a house can escalate quickly. Every unexpected problem or slight alteration can bring on those inevitable “looks like this will cost a bit more” meetings with the builder. Not knowing how much to spend on

renovations makes the fixed cost of buying look favourable.

5. Moving can bring you closer together.

Your family unit is your support team. While you’re navigating the ins and outs of being in a new place and making new friends, you’ll lean on one another for support. Plus, you’ll have a blank slate for new traditions and memories.

Moving house can set you up with another support team, too – your Broker. It’s a chance to secure a better rate, enjoy improved loan features and relish the personal attention of a Broker who sees you as more than just another customer.

There are many things to consider when deciding whether to renovate or move. Your Bloom Lending Broker can crunch the numbers to help you decide whether to turn the page and embark on an exciting adventure in a new home. Moving house is a big decision, but it might just be the best one you’ll make.

This article is prepared based on general information. It does not take into account individual financial objectives or needs and is not financial product advice.