EMPTY NESTERS: WHAT’S NEXT?
Listen closely. Do you hear that?
Your nest is empty. The kingdom has returned to its rightful owners.
But with that silence comes contemplation: What to do now with all this space?
Is it time to remodel, or downsize?
These are the two options the vast majority of empty nesters consider when the size of a home may be too much for just two people.
Remodeling seems practical. After all, does Junior need that big room just for when they’re on break from school, or visiting for a week at a time? Or, couldn’t guests just stay in the smaller room down the hall?
If the kids have moved out and you currently live in a three or four-bedroom home, the imagination is about to run wild. Sure, you can knock down that wall, open up the master, and have a sprawling bedroom. But, is removing a bedroom from the floorplan the best investment?
Statistics would suggest the answer is a resounding no.
Research shows that remodeling projects only recoup 64.4% of the projects cost, if you decide to sell in the future.
Consider this. If you remove a bedroom from a three or four-bedroom home, turning it into a two or three-bedroom home, you may now be putting that remodeling consideration on the buyer. If you live in a neighborhood that is popular with young couples, this could be a deal breaker. What’s more, an extra bedroom on your floorplan can add anywhere from $40,000 – $50,000 in home value. Removing it? You guessed it. That can potentially impact the appraisal of your home by that same amount.
The truth is, knocking down a wall or tackling a major remodeling project doesn’t change the overall square footage of your home (unless of course you make an addition). If you’re happy in your home, and downsizing isn’t in the cards, then perhaps repurpose your rooms instead.
Some popular ideas include turning extra bedrooms into movie theaters, gyms, libraries, or hobby rooms.
There are of course benefits to downsizing, including but not limited to outright owning your next home, less taxes (after all, less space), and an opportunity to take your profits from the sale and repurpose them into retirement interests or investments.
The choice is ultimately up to you, but consider both options, money potentially lost, and the long-term considerations before you consider significant remodeling projects.
Let’s Find the Plan That Works Best for You
If your nest is empty and you aren’t sure if a move or renovation is in your future, let’s talk today to find the plan that works best for you.