Ask A Real Estate Expert: When do you Recommend Renovating vs. When is it time to House Hunt?

Is your home meeting your family’s needs? And, if not what is the best way to fix that? Homeowners and clients often struggle with the decision to either renovate their current home or look for a different home. What is the cost/ benefit of each option and where will the grass be greener? 

We asked 3 local real estate agents this very question and are excited to share their expertise. 

When someone is looking to make big changes in their home, talk to us about the decision to undergo a large renovation or when it makes more sense to look for a new home. What advice do you give your clients? 

Farrell Turner - Griffin Harvey Group of Compass Real Estate: There are so many things to consider when you are deciding whether to undergo a major renovation or to pack up and move. It really boils down to three things: cost, time, and if the end result will meet your expectations. Consulting with an architect and designer will help you determine if you will be able to address what is lacking in your current home - this may include rearranging the layout or possibly adding square footage. Then you need to look at the cost and timeline. I have consulted with many buyers when they are working through this process to help them understand the current market if they were to buy and to determine what the future value of their renovated home may be. Budget may not be the deciding factor, but it's an important data point to consider. I have found that if my clients have that financial assessment in hand, they feel more confident in their decision - whether they decide to do that big addition or to list their home and find another. Lastly, touring homes with your agent and visiting open houses can be a very helpful education - not only will you be getting a good handle on the current market, you just may find some ideas for that reno... I've recently gone through this process with my husband for our own home, and you really learn a lot!

This attic renovation helped this family’s tween daughters have a space to hang out with each other and friends. As a previously unused space, this update was well worth it.

Steph Neiss - McCarthy Schwager Group: I first start by asking a client why they moved to that specific home? What have they enjoyed about living in that home? What needs have changed in their life where they need a bigger home and specific additions they would need to live comfortably?

Together we need to understand if it is strictly location, if so, the decision is easy. If it is not location, then I will then check the market in their desired area and find properties that would be available and then I can assist in educating them on the current market price for the amount of square footage/ bedrooms/ finished basement etc. Is there a home on the market that works for them?  How long are the willing to wait to see if a home will become available?

On the other hand, having discussion about renovation, the client needs to understand that is also a process that can be lengthy from the pre-planning, to architectural plans, permits, actual building process.

If a client truly can not find a home that suits their needs or lifestyle, I prepare them as much as possible, and put them in touch with several contacts to make them educated as possible to understand what type of process it may be.

Nikki Peterselli - Baird & Warner: When I meet homeowners that are debating whether to make a move or to stay and add/renovate, the same conversation typically ensues. In my experience, one spouse is generally more financially-minded and sees renovating as the more economical option of the two (in a community like Glen Ellyn or Wheaton where home prices have risen sharply this can certainly be true). The other spouse typically has one foot out the door and is a frequent "Zillow watcher". By the time they're meeting with me, many conversations of hopes and dreams have been had and it's often the spouse that spends the most time in the home that longs for change.

The biggest reasons I hear for that longing are: 

  • Lack of a mudroom - Kids + weather + sports gear + pets, all homeowners want a proper place for this equation

  • Lack of primary bath (and this is where both spouses tend to agree) - Kids reach certain ages and sharing a bathroom becomes more challenging and less ideal

  • Lack of space to entertain, which often falls in line with their objections for their kitchen- Most desire a large island to gather around as well as more pantry space

Bathroom renovation by Two Hands Interiors

I find couples intuitively know whether they can or cannot live through a renovation --it's a lot of decisions that not everyone is comfortable making and is such a disruption to everyday life-- so my advice is to listen to that intuition. I'm there when and if they want to see homes that are available or to connect them with individuals that can assist with renovation steps/questions. 

Ultimately, when deciding whether to renovate/add on or to move it comes down first to preference, if it's affordable and then whether the neighborhood supports the projected value (a lot of times sellers don't want to leave their neighborhood or neighbors - that's a great indication renovating is a good option). And of course, the style of home and the dimensions of lot matter, too. A ranch, for example, is going to be a lot easier to work with than a split level. And then we're back to the preferences conversation :)

For other real estate questions, please feel free to reach out to Farrell, Steph, Nikki or your preferred realtor. 

Farrell Turner: Griffin Harvey Group of Compass Real Estate, WEBSITE

Steph Neiss - McCarthy Schwager Group, WEBSITE

Nikki Peterselli - Baird & Warner, WEBSITE