Relocating or Expanding Your Home: Experts Discuss the More Cost-Effective Choice for You

Homeowners' Dilemma: Move or Add On?

• Cost of Home Additions: Home additions average around $51,042, presenting a significant financial consideration for homeowners contemplating whether to expand their current living space or relocate.

• Financial Insights from Experts: Shanli Liu from FreedomFolio notes that home additions typically recoup 50-70% of their costs in increased home value. However, overbuilding can negatively impact resale potential. Liu advises that adding 20-30% more space is often ideal.

Evaluating the Decision

• Factors Influencing the Choice: Ryan Fitzgerald of Raleigh Realty suggests that if a homeowner's priorities are location-based (like schools or yard space), moving is the better option. Conversely, if the focus is on improving daily living conditions, an addition may be more beneficial.

• Personalized Financial Review: Eric Bramlett from Bramlett Partners emphasizes the importance of understanding one's financial situation and market conditions. A tailored review can help homeowners make informed decisions that align with their long-term living preferences.

Conclusion

• Balancing Financial and Emotional Needs: The decision to move or add on should consider both financial implications and personal comfort. Homeowners are encouraged to assess their needs for the next five to ten years and seek expert advice to avoid costly mistakes.