WHY IS IT A GREAT TIME TO IMPROVE YOUR HOME? NOW! continued-

In the previous post, base on the report by CBS News, it was also mentioned that since home prices went down by 22% since 2006, homeowners might think that this a good time to trade up for a new master bath or a modern feature you want in a home. The truth is in short, you won’t be able to sale your home easily today, nor that you will find what you want in someone else’s home. 


Consider the commissions you will have to pay to sell the home- the example the article uses determines a commission of $25,000 dollars on a $400,000 thousand dollar home- in my opinion that should give you a pretty nice master bath if you decide to remodel. $25,000 plus another $5-$7,000 in closing cost if you move…and you know every move adds cost even if your friends and family are helping you move…

Even though the article calls it the new real estate rule today…I think, it has always been like that…but when “we lived in a bubble” (not for health reasons, but for greed!) we were assured by inflated prices that we would sell our home for the price we wanted-regardless. We should never over improve for the neighborhood, or the house.   The simple way to remember this rule, again in my humble opinion is expressed towards the end of the article. Remodeling a kitchen that is only ten years old just because you don’t like the style, you are not going to make your money back. But if your kitchen is from the 1960’s upgrading it….it’s a must and you will get your money back.

let me know what you think?

share with us your personal experience with remodeling vs moving, or moving vs remodeling

Thanks,

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