Remodel what I have (major) or buy something bigger?

[mikester]

Leaving our neighborhood is not an option and since our neighborhood is highly desirable inventory is very low and houses sell usually before they are even listed.

I need a home office that has more privacy and the current layout simply can't do it. I could get what I need without going up most likely and that is my contingency plan. That does involve taking up more of the back yard but I think that if it comes to that I can live with it. I would prefer to build the dream house but if it is cost prohibitive then it is cost prohibitive. We will have to do the best we can with what we have or get ourselves in with the RE Agents around here to know when things are for sale when we need to.

There is a house that just came on the market which looks like it is most of what I want and it is within reach most likely. It's a little more than I would want to pay and of course my property taxes would end up higher (wife hates that one).

We are going to look at it today.

[Chuck Moreland]

Consider the impact of Prop 13 on your situation.

For homeowners who have seen a lot of appreciation, Prop 13 really penalizes any move. Additions start sounding like a good idea vs buying a bigger home.

[Jim Bremner]

Mikester, How old are you? if you're over 55 Prop 13 will let you sell once and carry the property tax AS long as you don't buy greater than 5% more than you sold your prior house for in the first year. 10% greater the second year. Look at the comps for your neighborhood. If the comps are $425-475 a square foot and it will only cost you $250 a square for add on there's a ton of resale value added on.

I went through this back in 1998 and after doing 1 bathroom remodel with my wife and I knew that she couldn't handle the stress of a second remodel.

[mikester]

I'm 41.

[Jim Bremner]

Originally Posted by mikester

I'm 41.

NO prop 13 tax relief for you!

[dave 911]

We're considering the same exact question, down in San Diego though. We're leaning toward a rebuild as our lot is large (by CA standards anyway) and like you have an old cheaply built house in a nice area.

I need to do a ton of research still, about all I've done so far is draw up some plans (that include a very large garage of course).

[JavaBrewer]

Originally Posted by mikester

I'm not interested in the crooked ruler charm. It's not charming, I'm an engineer and it annoys the hell out of me.

I was more referring to the trend of building something that does not fit the neighborhood. If the street is filled with older one level homes few will appreciate something like this appearing.



Gentrification should be done tastefully. Keep some of the original look while incorporating the updates.

[tabs]

Originally Posted by stomachmonkey

Well if you can get $300k in value above what you would spend it's almost a no brainer.

Also best shot at getting exactly what you want which is priceless.

My first thought was, does the NEIGHBORHOOD warrant and SUPPORT the increased price that a major remodel would increase the value of the property?

If the answer is NO, buy elsewhere. If yes then why not?