Building New or Renovating: Which Is Right For Me?
It's an age-old real estate question. If you are a homeowner and you're finding that your existing living space just doesn't work anymore, should you do a gut renovation of your current home to suit your changing needs, or start fresh and build new? Of course, at Dream Finders Homes, we believe that building new is almost always the right answer, but we know that there are situations where a renovation is a family's best option. In this article, we'll weigh the pros and cons of each. In the end, if you decide that building new in 2022 is for you, then connect with us; we'd be honored to be your home builder!
If you're in a neighborhood that you love or absolutely must stay in (for the school district or to be close to family, for example), doing a gut renovation of your existing home may be the best choice. Our best advice is to plan ahead, prepare for the unexpected, and have a flexible budget, since renovation projects are notoriously unpredictable. But there are a few pros, too.
PROS
Building New
A new home looks great, works perfectly, and heck, even smells good (that fresh cedar scent!), but it's got even more going for it than meets the eye. PROS- More Control — You'll have more control over your project, from the design and layout to how it flows and functions.
- All-New Everything — We're talking about what IN the walls — insulation, wiring, plumbing, and systems.
- Up to Code — Everything in your home will meet or exceed existing building codes — no retrofitting involved.
- Predictable, Streamlined Process — Once your design plans are set, sit back and let the process unfold.
- Fixed Cost — Once selections are made, there's no danger of going over budget.
- Built-in Resale Value — New homes are built to appeal to a wide audience, so it's easier to sell years from now if necessary; the value is already built in.
- More Expensive — A new build can sometimes be more expensive than a gut renovation, but it's worth it when every square inch of your home is built to code, energy-efficient, and requires no up-front maintenance. Plus you didn’t have to live in a home that was being gutted and rebuilt!
- Longer Timeframe — This is actually a misconception. Most times, the renovation takes longer than anticipated.
Renovating
If you're in a neighborhood that you love or absolutely must stay in (for the school district or to be close to family, for example), doing a gut renovation of your existing home may be the best choice. Our best advice is to plan ahead, prepare for the unexpected, and have a flexible budget, since renovation projects are notoriously unpredictable. But there are a few pros, too.
PROS
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- Add Value to Your Home — If done properly, a gut renovation can add to your existing home value.
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- Perceived Shorter Timeframe — That gut rebuild takes WAY longer than anyone ever thought. Just as anyone who has ever done it!
- No Moving — Stay in the neighborhood you love.
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- Less Control — There are more design restrictions because you're bound by the size and structure of your existing house.
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- Unpredictable — You can never be sure what you'll run into once you start tearing down walls and ripping up flooring.
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- Costlier Than Expected — The older the building, the more costly it is to renovate, because you'll need to bring everything up to code. There may even be mitigation work required if there is lead paint or asbestos involved.
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- Inconvenient — You may need to move out of the home or lose the use of an important room for time — like the kitchen or a bathroom
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- Overwhelming — If the homeowner assumes the role of Project Manager and is managing the process and contractors, it can get overwhelming very quickly.
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- May Not Add Value — The renovation may not always translate to increased home value, especially if the design is too personal or the use too niche.
- Easy to go over budget — According to the 2020 U.S. Houzz & Home Study: Renovation Trends, one-third of renovations go over budget.
Categories: Blog, Building a Home