Renovate or Detonate? How to Maximize the Value of your Property

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Do you feel that your house is not looking as great as the rest of the properties in the neighborhood? Are you hoping to sell your current home, but feel like you need to fix up your house to increase its value? There are two main choices: renovate or detonate. Here are a few things to think about before deciding whether your house needs renovation or rebuilding.

Renovating

Renovation is always a learning experience, especially if you choose to do it yourself. There are some key questions you need to ask before you start planning a renovation. Firstly, will the increase in house value become more than the cost of the renovation? The renovation will only be worth doing if you can break even or make a profit. If you can’t afford to renovate, or if the project goes over budget, it isn’t a good idea to renovate. Remember to budget for an additional 20% for the unexpected, because although you can’t predict what will go wrong, something usually will. Secondly, will the new design of the renovation suit your needs? When designing a renovation you either cater to your personal needs, or if you are renovating for resale or renting design, your renovation should instead cater to market expectations. Remember your personal taste might not be everyone else’s taste. Thirdly, will you be able to live in an effective construction site? If you are planning to live at home while renovating, remember that a construction site is both dirty and dangerous. If you cannot manage to live at your home you will need to add the additional temporary accommodation cost to the over all cost of the project.

Detonating

Demolishing your home is a large investment of time and effort. Demolishing requires you to consider your neighbors, local councils and your bank. So here are a few key question you should ask before you think about pushing the detonator. First, will the council allow you to demolish your house? Some homes are subject to strict heritage codes that will prevent them from being demolished. Furthermore, every home is subject to a planning act, which will dictate the type of building that can be built on the block. Second, is it worth the money? Demolition costs are additional to the cost of rebuilding, however, in some cases a clean slate might work out cheaper than an excessive amount of retrofitting. Again a further cost that must be considered is alternative accommodation and storage while construction is underway. A final question that needs to be asked is, will the new house increase the value of your property enough to make a profit off by either selling or renting.

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Maximizing your property’s value will depend on each individual situation and there is no one right answer. Regardless, renovation and rebuilding are both big tasks and sometimes they require heavy-duty tools. If you are renovating or rebuilding you property, check out Hyundai Construction Equipment – Their range of products will ensure that any large-scale property developments go as smoothly as possible.