If you need more space, it may be tempting to start looking for another house. However, moving is a huge decision, especially if you have a family. Access to good schools and a safe neighborhood with quality amenities is key. More space can be found with a renovation. How will you decide?

Financial Considerations

If you have a healthy amount of equity in your home, you will have more options. That equity can be used to increase the size (and usually the value) of your home. Of course, you can also use that equity to buy another house once you sell.

If your equity is low or you are under water, your choices are limited. For those in dire financial straits, options include a short sale and moving into a rental home. This may get you more space, but it can damage your credit. However, your rent may be cheaper than your mortgage.

Stay Within Your Neighborhood Price Range

Before you decide to move, check with a realtor on comps in your neighborhood. If you've decided to improve your home, you want to make sure you haven't overbuilt. Improving your kitchen with a $50,000 renovation won't add $50,000 to the value of your home if you can't sell it for that much money.

Location, Location, Location

Do you like your neighborhood? For those with children, the primary concern may be school quality. Parks and other amenities can be found in many locations, as can grocery stores and easy access to shopping.

How about your job? If you can easily get to work right now, the idea of moving may be daunting. Extending your commute can add to your stress level and may mean less time with your family at the end of the day.

Define Your Why

Is this about space? Oftentimes, the desire to move is based on simply being tired of your current home. There are many things you can do to improve your current living situation before you need to do something drastic, such as a big move.

For example, if you're strapped for space, check for efficiencies in your current location. Small bedrooms can be improved with captain's beds, providing drawer space underneath. Hiring a carpenter to install built-in shelving or a Murphy bed is a great option when you're strapped for space, particularly if it's temporary.

What's Your Mess Tolerance

Renovation can be fun if you think of it as an adventure, but it can also be messy and extremely disruptive. Taking out walls and moving water and electricity can lead to shutdowns and other inconveniences. If you hate disruption and change, renovation is likely not a good idea.

Study Your Easements And Access

Depending on where you live, putting on an addition with a basement could work, but access to your lot is critical. For example, a crane for hire could make it possible to move supplies and machinery into your backyard, but your neighbors may not like it!

Focus On Your Skills And Time

If you choose to go through with a renovation, make sure to be honest about your skill-set. Home renovation shows can be quite inspiring, but if you've never finished sheetrock or wired an outlet, be aware that you can be injured while trying new things. Your safety should be the first consideration. Hire a contractor for the big stuff!

Final Thoughts

Improving your home is a big decision, but so is moving. If you love your neighborhood, you may be happiest staying in place and renovating or adding on. For those with the flexibility to move, that may be a better option to avoid the mess and disruption. Whatever you choose, be sure to monitor your budget for the best financial outcome.