Why moving property isn’t always the best value propositon
People move house and invest in property for all sorts of reasons. One individual may be happier purchasing a fixer-upper, another may find value in purchasing property in a less expensive area and waiting for the house prices to increase thanks to urban renewal developments. However, more and more people are staying put, making the best of the assets and households they have with a careful mind for future planning.
In other words, the idea that constant moving is a natural game of property acquisition and “climbing the ladder” is slowly starting to deteriorate, given the limiting state of new builds in countries like the UK and Canada. As such, a new perspective has dawned – investing in personal property and maximizing their value.
Here are just some factors influencing this decision. Without further do, let’s consider:
Unpredictable financial considerations
Moving property entails a multitude of financial considerations, that frankly, are unpredictable beyond the purchase price of a new home. Expenses such as real estate agent fees, closing costs, and potential renovations must be factored in, and even that isn’t reliable. Additionally, selling one’s current property in a competitive market isn’t always an easy task, and the house you’re looking to move into might not be available by the time you’ve managed to sell, given competing timelines from each homeowner. For that reason, some homeowners are considering staying put and making the most of where they reside.
Home build & property expansion opportunities
In some cases, individuals may opt to build a new home rather than purchase an existing property they remain unfamiliar with. While this option offers the advantage of customization and potentially lower long-term maintenance costs, it requires significant upfront investment and meticulous planning too. Some homeowners are considering that equation and determining that the effort investment is worth it. On top of this, with luxury home builders, the chances of rejuvenating a property or adding to it may not be such a pipe dream. Keep in mind that building a new home necessitates careful budgeting, consideration of construction timelines, and complete understanding and adherence to building codes and regulations. If this is a risk assessment worth it to you, it can help save some of the unpredictability of the housing market you might have faced otherwise.
Urban renewal, development & growth
Many urban areas are undergoing investment from businesses building manufacturing, developing businesses and in person stores, curating service jobs, and more. If you’re lucky enough to reside in one of these areas, sometimes waiting and seeing how much money will be invested into the area can give you the breath of fresh air you need to move forward and thrive. Just keep in mind that it’s essential to carefully assess the possible risks and rewards of a local investment into your neighborhood, and to consider factors such as property crime rates, infrastructure improvements, and community development that may or may not come along with that. One change such as a transition of corporate headquarters to your local city may not be a marker of complete renewal, but sometimes a drip of industry can lead to a flood of investment. Keep an eye on your market when making property decisions, they may help you thrive.
With this advice, you’ll be better able to see that moving property, while possibly a good idea, is not always the necessary and de facto choice.