IMPROVING

BY MONIQUE DU TOIT

very homeowner invariably reaches a point where they must ask themselves the question : Will I fix my current house , or sell it ? Turns out , either option is bound to cost some time and effort . This month , we break down the different steps to take for each scenario .

I ’ m Staying Put

For many of us , the idea of packing up and moving house is a stressful … not to mention expensive . Breaking down the exact costs can be tricky , but once you factor in transfer fees , moving costs , cleaning services , and a whole host of unexpected expenses , it makes sense that many homeowners are choosing to renovate rather than move .

Of course , large scale renovations have their own set of drawbacks . In many cases , you may choose to live in your home while renovating . This can be a disruptive exercise , filled with many possible worst-case scenarios . As a savvy property owner , it ’ s always important to consider what will add value to your home in the long run . It ’ s been well documented that the two areas in a home that adds value are the kitchen and bathrooms . According to Michael Corbett from Trulia , it ’ s important to consider your neighbourhood and the types of buyers that target the area : “ Don ’ t over-improve . You likely won ’ t get your money back in the sale ,” he cautions .

Andrew Mirams , MD of Intuitive Finance explains : “ A well-costed and well-managed renovation can convert a two-bedroom home into a three-bedroom one or add that extra bathroom that a growing family needs for , potentially , a

SHOULD I STAY OR SHOULD I GO

Oliver Marks from Realtor highlights the following critical considerations when deciding to renovate or move : “ Your house isn ’ t just your largest investment , of course , it ’ s also the place where your family lives . Financial considerations aside , the question of whether to move or improve should be decide by the things you can ’ t change about your current home . If you love the spot , improving makes sense . But if a different location would be an improvement in its own right , then trading up could be the way to go .” He goes on to list a few examples :

• School district

• The amount of traffic on your street

• Size and layout of your yard

• Commute time

• Access to markets and malls

• Neighbourhood quality of life

fraction of the cost of selling up and moving somewhere new .” His advice is setting up a detailed renovation budget : “ The most successful renovators create a detailed budget and stick to them ,

24 FEBRUARY 2018 SA Real Estate Investor Magazine