I want to add on to my current home in about 5 years, we have a 3 bed 1 bath 1 story home. I would like to add up and out adding a second story with 2 more bedrooms and one more bath. Our house was built in 1955 with crawlspace. Do you think it would cost more to do these renovations than if we where just going to buy a new home. Is the remodel worth it?
It depends on many factors. Location is always the most important. Are you living where you want to live?
The second question is, what will the remodel do to the value of the house? If the value is much higher than neighboring houses, it would not pay to add on.
third question is where would you want to move to? How much you are willing to spend on a new house is a factor.
Figure $100 per square foot as the remodel cost. Two bedrooms, two closets, bath, bath closet, hall, stairs, wall space. Five hundred square feet would be $50,000.
When people “move up” they usually spend $35,000 to $45,000 for a better home. So it would be cheaper to move up.
Further, doing a remodel is a massive headache. You would have to find temporary living arrangements for about six months. And you would have to keep daily tabs on the contractors to make sure they do things right.
If you move up, you only have to find the house you want, buy it, then move in.
Rating: 5 out of 5