Reasons to Rebuild vs. Reasons to Renovate
Renovation Vs Rebuilding--Which Does Your Home Need?
There comes a time in your home’s life when a crucial decision has to be made. As the house ages, accumulating more damage from the elements and everyday use, you must consider whether it is best to renovate the house or to rebuild it. Taking time to assess the reasons for the needed modifications, and how many are required, helps the smart homeowner make an informed decision.
At first simply renovating seems like a cheaper solution, but there are a few points to keep in mind. If the home would be better positioned elsewhere on the lot then renovating is not the answer. You are going to spend more money than you may recover from renovating. However, if you are looking to sell during a strong market then you might recoup some of the money spent.
Renovation is an acceptable solution if you are happy with how the home looks structurally, the plumbing and electrical are both in good condition, it is energy efficient, and no more than two rooms need to be renovated. If your home doesn’t meet these guidelines, perhaps you should instead consider rebuilding.
If your house has been damaged by pests, water, or mold then rebuilding is a better option. Also, if the home needs to be modified structurally to resist natural elements such as high winds, earthquakes, or snow then rebuilding is the way to go.
Choosing to Rebuild
Other signs that rebuilding is a better alternative than renovation include problems with the foundation. Off grade houses start to sag and concrete foundations develop cracks. Electrical and plumbing systems that do not function properly need to be replaced through rebuilding. Poor energy efficiency is another indication that rebuilding needs to occur. Homes that are not energy efficient continue to cost you money that you should otherwise be saving.
The cost of rebuilding is higher than renovating. The good news is the improvements made to a home by rebuilding it significantly increases its market value, allowing you to recoup some of your investment if you decide to sell. Also, check to see if home recycling is available in your area. The majority of a house can be recycled or reused and home recycling companies give you cash, again returning more of your investment. If there are no home recyclers in your area you can still donate the materials to a nonprofit organization and receive a tax deduction based on the value of the materials.
If you are going to renovate or rebuild your home make sure to make a good assessment first. Given the above information you may find that rebuilding is not necessary and a simple renovation will suffice. Or you may discover that renovating does not fully address your concerns and it is best to make the investment in rebuilding.
When it comes to being a landlord, one should know that it is not for the unprepared individual. This should be clear that being a landlord does not simply mean that you will be taking the rent and... More
Becoming a landlord is a major deal and no one can simply get up and think, “well, yes I think I should be a landlord and rent out my flat.” If you are thinking that you would like to be a landlord,... More
Landlords and aspiring landlords, do not become as such, without guidance and advice. There is a lot that goes into being a landlord nowadays; in fact, there is so much to learn that it often confuses... More
Renting out an apartment or a house can become a constant revenue source for landlords, but at the same time, it gives rise to several problems. It is a fact that high standards, a strict lease... More
If you are currently thinking of becoming a landlord only because it helps you have a constant stream of income, you should think twice. It’s not that you should not consider offering your property... More
When it comes to paying taxes, most individuals have no idea that they may be paying so much without needing to do so. The same goes for landlords. Why should you or any other landlord be paying more... More
When you own a rental business and start it from scratch, you know how important it is for your business to reach the people it matters to most. How else would your business flourish and blossom? It... More
For a landlord, it is of immense importance to ensure that they only let a qualified tenant to move in. It is however every landlord’s nightmare when they get tenants from hell who make the tenancy... More
There are many terms and concepts used in the realms of landlording, and when it comes to learning everything in the property business, most aspiring property owners find them in trouble. Most... More