Is It Time to Upsize?15/10/2018
For some it’s about getting an extra bedroom, or more living space, while for others it’s to add a home office, or more outdoor area for active kids and entertaining, and there’s a few things to consider.
Whether you’re bursting at the seams with a growing family, have future baby plans, merging family generations or perhaps need space for lifestyle pursuits, the decision to upsize can have different objectives for home buyers. Whatever the plans, there are few aspects to consider.
Are your finances up to it?
The first step in the upsize decision process is to have your existing home appraised by a real estate agent with knowledge of your local area. This will provide you with information about your equity position (the difference between the market value of your home and the amount you owe the lender or bank, i.e. the payout you’d receive after paying off the mortgage liability). With this information you can meet with a financial adviser to establish what further finance is required to achieve your upsize plans, and whether it is feasible within your current income and commitments.
Understand the timeframes
Selling your current home first before buying your upsized home, or the other way around, can determine your new home journey. There’s no right or wrong answer, it really depends on the individual situation. When you purchase a block of land to build on, there is a scheduled title delivery date associated. This indicates when you will be able to start building and also when you will need to settle your balance of the purchase price. The time to title can be a great incentive to save and budget for your upcoming home build, an opportunity that isn’t available when buying established.
Staying in the neighbourhood
If you’ve found your upsize opportunity, whether that is an established home in a new area or a new building adventure, will you be able to keep the kids in the same schools or will you explore new options? It’s a good idea to understand all the impacts of your move, not just the financial implications.
Other costs to add
While the obvious cost involved with upsizing is the purchase of a new property, block of land or house and land package, there are some lesser considered expenses to consider too. A larger home can incur additional energy costs to heat and cool, while a bigger yard means more investment into garden and landscaping and ongoing maintenance.
Check out the range of house and land packages at Alira to see how you can upsize in Berwick today.