Making the decision of whether to renovate your current home or buy a new one is not an easy one. It's important to consider the location of your current home, as this plays an important role in the decision. If you love your neighborhood and have qualms about leaving behind your beloved neighbors, the comforts and the feeling that this place is your home, then renovation may be the best option. Better yet, if your current home is in a modern neighborhood where real estate prices are soaring, a renovation can also be a smart financial move.
You don't have to remodel everything in your home, which means your budget can fit what you need to do. If you've only been in your home for a few years and have a mortgage, the home's equity may be minimal. As a result, you wouldn't get much profit from selling your home. To make an informed decision, it's important to request cost estimates for the remodeling project and then determine the fair market value of the finished project.
If the new selling price exceeds the cost of renovations, the decision may be obvious.