You’ve started in the right place if you are looking to make a wise financial decision for your family. Reading up on remodeling verses moving costs in Overland Park,, KS will help you make the best decision. A lot of your money is spent on your home so we hope this article will be a neutral tool for you to see the pros and cons of moving or remodeling in Overland Park, KS.
This is really the Ultimate Guide for your family, friends, and co-workers.
We truly want you to make a wise buying or remodeling decision, so as you consider your budget; make sure it is realistic and that it doesn’t stretch your financial situation whether moving or remodeling. Figure it on what you can afford today and not on expectations of the future. Don’t trap yourself into something that you cannot afford and cause unneeded stress, family issues and cash shortages because of a poor financial decision.
If you are considering a remodel; make sure you choose a quality licensed and fully insured contractor. Remodeling is expensive, but it can be extremely expensive and problematic if the wrong contractor is chosen. Remember that with a remodel you usually won’t recover 100% of what you put in. For a typical kitchen or bathroom remodel in Kansas City, your home value will increase by around 50-80% of what you put into it. In our estimates, we assume you’ll get back only 70%.
If you are considering buying or selling your home; be sure to use a top-notch realtor. We all have a friend or family member that “got their realtors license” for a side job. Is he/she really the best choice for your large financial decision that you are about to make? You might make grandma upset for not using Aunt Sue, but who cares; it’s your money and one of your larger investments.
There are a lot of sneaky cost in buying and selling a house. Your home might need to be freshened up before it will sell. Moving results in a lot of money lost due to sales commissions, closing costs, moving costs, and other transition expenses.
Does it make more sense to remodel your current home or to move to a better home in Overland Park, KS?
Moving vs Remodeling In Overland Park, KS
Buying A New Home In Overland Park
The average Overland Park home is worth $259,075, here are the costs of selling your home and buying another.
- Current Home Value: $259,075
- Cost Of A 20% Nicer Home:$310,890
- Commission To Sell Your Home: $14,249 at 5.5% commission
- Estimated Closing Costs To Buy A New Home: $11,658 at 4.5% of the home price
- Estimated Moving and Transition Expenses: $1,943 at 0.75%
- Total Cost To Move From A $259,075 Home To A $310,890 Home:$79,666
Remodeling In Overland Park
Next, we’re looking at remodeling an average Overland Park home with a budget of $79,666.
- Current Home Value: $259,075
- Remodeling Budget: $79,666
- Net Loss At 70% Efficiency:$23,317
- Value Added:$54,406
- New Home Value:$313,000
So, for an average Overland Park, KS home we assumed a budget of $79,666. If you bought a new home you could end up with a home value of $310,890 and the new home value after renovating is almost the same at $313,481. Either of these estimates could be off by $25,908 in either direction so make sure you talk to a realtor and contractor for specific quotes.
What Does This Mean?
As you can see, on paper, the numbers could be fairly close between moving or remodeling. There are many other things to consider. What are the Pros and Cons of remodeling, moving and buying a home?
Pros and Cons
When it might make sense!
It might make sense to move when your current home:
- Needs more living space
- Doesn’t have enough yard
- Doesn’t have a basement or enough parking
- Has bad neighbors
- Has bad schools
- Has neighbors with annoying animals
- Has neighbors who are not keeping their houses up
- Has too many stairs
- Is poorly designed or built
- Is due for a lot of future work
- Is surrounded by problematic traffic issues
- Cannot recoup the cost of a remodel
- Stirs up bad memories
- Would sell quickly at a premium price
- Is fine but it’s time for a nicer neighborhood
It might make sense to buy your proposed new home if it:
- Has a larger yard
- Has more square footage
- Meets your growing family’s needs
- Is designed or built better
- Is closer to family, schools, shopping and work
- Has a safer neighborhood
- Has a quality HOA
- Is distressed and/or underpriced which gives you the potential of quick equity
It might make sense to remodel your current home if it:
- Is in the perfect neighborhood
- Is located close to family, schools, shopping, and work
- Is dated or becoming distressed
- Needs more living space
- Is not big enough for your growing family
- Is where you want to ‘Age in Place’
- Is where your children’s friends and schools are at
- Has sentimental value
- Has made great lasting memories that you don’t want to leave behind
Selling A Home
For the most part, when people buy a house (including you); they want it move in ready and looking great. Would your home sell quickly as be or does it need a lot of work and money invested in it to make it sell? Ask any quality realtor and they will tell your house should be looking decluttered, fresh and inviting the minute it enters the market; especially, if you want it to sell quick and to get a premium price.
Joys and Pains of Moving
Very few homes are completely set up how you want them. There are usually wall colors to change, flooring to upgrade, and future changes brewing in your head. It is exciting to move and to start fresh. There is a feeling of advancement every time you upgrade in neighborhoods. This can bring joy and excitement to you and your family.
There are also the pains of moving. You have to ask friends and family for help to pack and move. There is the renting of the moving truck or hiring movers. There is the possibility of uprooting children from schools or friends. There might be a bigger yard to take care of or a bigger home to clean, maintain and to fill with furniture.
Remodeling Your Current Home
Remodeling is fun and exciting for some but for others; it sucks the life out of them. Remodeling is messy, dusty, and at times chaotic, particularly, if you are living in the home at the time. Strangers will be in and out of your home; starting early in the morning before your work and they maybe even be there afterwards. Weeks without a bathroom or kitchen can feel overwhelming. Lumber piled on the driveway or in garage may take your parking spot. Your pets might have to be locked up all day while the workers are there. Remodeling disrupts your life.
Do you handle surprises well? When walls are opened up; wood rot, structural issues, treasures and even nightmares have been found. Unplanned expenses can hurt your pocket book and cause stress in your home life.
Keep in mind that not all remodeling will fully pay off because of the neighborhood but if you plan on living in your current home for an extended time; it might make sense to remodel, so you can easily sell it later and so you are able to enjoy your home how you like it or need it.
We hope this article was a neutral tool for you to see the pros and cons of moving or remodeling in Overland Park, KS. Be sure to get a lot of wise counsel and definitely start with a realistic budget that doesn’t stretch your financial situation whether moving or remodeling. Contact a top-notch realtor if you choose to buy or sell your home or if you want to remodel your current home; make Dream Home Enterprises your first choice for remodeling in the Kansas City area.
Dream Home Enterprises has been serving the Kansas City area since 2003. We are a licensed General Contractor with a passion for building, renovating, repairing, and maintaining residential properties. We use in-house trained employees and proven service providers who want to excel as a craftsman, so you get a professional result.
We provide a full-service DRAMA FREE PACKAGE from design to completion.
Dream Home Enterprises
PO Box 1045
Belton, Mo 64012
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Thanks for reading! Hopefully, this truly was the Ultimate Guide to Moving and Remodeling in Overland Park ,KS. Let us know what you think and help us out by sharing this with your family, friends, and coworkers so they can make a wise home buying or remodeling decision.
- Home Value Data: Zillow – https://www.zillow.com/research/data/
- Remodeling Cost to Value Ratio: Financial Samurai – http://www.financialsamurai.com/does-remodeling-pay-off-make-money/
- All other calculations and information are the original work of Dream Home Enterprises (operator of WWW.LAWNANDHOME.COM)