Deciding between whether to renovate or sell your home and move is a question for our hearts as much as our heads. Moving to a new place can be an expensive and time-consuming process but a new location can be exactly what you need. On the other hand, sprucing up your current home can be rewarding and cost-effective, especially if you like where you live.
The Cost of Buying and Selling a House in NSW
Selling your existing home and buying a new one is costly, but exactly what kind of costs can you expect to incur during a house transaction and how much will these add up to? As a rough guide, the sale of a $2 million home in New South Wales incurs the following costs on average:
● $95,500 in state government fees (mostly stamp duty)
● $44,000 real estate sales commission (based on average 2.2%)
● $3,000 agent fees estimate depending on marketing options
● $10,000 styling costs options but usual for house of this value
● $3,000 approximately in conveyancing fees
That comes to a total of $155,500 and doesn’t include other intangibles such as the cost of house hunting and getting your home ready for presentation each week during the sales campaign period.
Consider Your Lifestyle and Priorities
If you like the location you are in, $155K is a lot of money to waste moving houses. Renovating your existing home is much more cost-effective by comparison. Making the right choice is all about considering your lifestyle and priorities. What do you love about where you are? Will moving give you something more?
A new home better suited to your needs could be a great option without the hassles of renovating. But redoing the kitchen or adding an extension for your growing family might be all you need to comfortably stay where you are. Selling your home and buying a new one is a major step and you should go into it with your eyes wide open.
What to Keep in Mind When Renovating
How easy and cost-effective a renovation is depends on the state of your current house. Do you need to make repairs before beginning renovation works? If so, your renovation costs could be higher than expected. Our free appraisal of your existing house is the first step you should take.
If you renovate an older house, you may need to bring other aspects of your home up to standard. If you renovate more than 50 per cent of your home, then it must be made to comply with current building regulations. This potentially means new wiring, plumbing and insulation.
Tips for a Quality Renovation
When you’re looking to renovate your home, set a budget and stick to it. Consult with an experienced team of renovators to determine the best approach to improving your home. Focus on adding space and functionality. This includes creating more space by knocking down walls or adding an extension and building storage spaces like wardrobes to declutter rooms.
Your Trusted Team of Designers and Builders in NSW
Family Home Designers & Builders have provided quality building design, construction, and renovation services in the North Shore area for almost 30 years. If you need assistance with your next project, get in touch with our team today.