Upstage or Move-Up? Should you Relocate, Rebuild or Renovate? Surviving the Numbers Game
You loved your home from the moment you saw it and you fell in love with your neighbourhood as well. But now you might be working crosstown and want to live closer to work, or your family may be growing. Regardless of the reasons, your current home may not be able to accommodate your needs and it might be time to sell it to we buy houses Sacramento and look for a new place to live. This raises a tough question: relocate, rebuild, or renovate? With this question in mind, we turned to three Midtown industry specialists for their perspectives and advice to assist you in your decision. Our Relocation Specialist is Jennifer Greenberg, Broker at Royal LePage. Our Rebuild Advisor is Alisse Howeling, CEO and Founder of KAAV Living. Our Renovations Consultant is Custom Home Builder, Mark Wexler CEO of Wexmark Homes. First, let us resolve that accomplishing your goals will be a “numbers game.” Your decisions will be bound by what you can afford and what level of risk you’re willing to take. Let’s examine the three options.
RelocateTo move or not to move? Considering the current real estate market with inventory at a premium, finding a new “home” can be a difficult challenge. Not to mention, Toronto’s Midtown offers such a high quality of life that it’s hard for those living there to imagine leaving and easy for those looking to buy, to imagine moving there. Jennifer Greenberg warns that relocating or moving into a high-demand area like Midtown is challenging. Here is an example for consideration: A young couple in Toronto who wants to buy a house for $1 million, would need 20% down ($200,000) in cash, plus pay mandatory Land Transfer Taxes of $32,000. What young couple has been able to save the deposit amount, with University loans and/or other debts? Families who “want in,” may be forced to re-compile their “wish list,” settle for less space or even abandon moving to Midtown. Homes and offices in an attractive area often come at a premium. This is why many companies are turning to rental agents instead.
RebuildFor homeowners who just can’t leave the area, rebuilding can be a viable option, but requires an understanding of the overall process. Whether your house is detached or semi detached will determine your options for rebuilding. Permits will be limited by its “setback.” A semi detached house can only have setback on one side; being the distance between your house and your neighbor’s (space between lot line and the house). Ms. Howeling has suggested an Eight Step Plan for assessing whether or not you should rebuild your house:
- Create a thorough plan and understand the process.
- Determine if this type of project is viable based on cost and timeline.
- Create a team to help with each step: architect, structural engineer, general contractor(s), designer, mortgage broker etc.
- Have a contingency budget. If you’re renovating an old house, you might discover issues that do not comply with the Building Code. You need to bring all issues “up to code.” After a structure study, you’ll know more.
- Hire a home inspector to evaluate your house for potential defects/issues? Some problems may not be initially apparent.
- “When you rebuild you don’t have these problems, because you just knock the house down.”
- Choose a competent, “all in one” contractor/builder and ensure they adhere to your proposed budget.
- Prepare to temporarily move your family out of your house for a major renovation and/or rebuild (6 months to 1 year).