There comes a time when the home you are in is bursting at the seams and there are two options….
- Renovate and expand;
- Upgrade to a larger home.
Renovation is not always an option, sometimes there is not the ability to expand which only leaves one option to upgrade.
Regardless of the stage in the Property Cycle there are advantages. When the Cycle is at it’s peak your home is able to sell for a higher price and help bridge the Gap. In a low market the property you aspire to purchase is at a lower price.
What is important is the changeover amount for the purchase and your capacity to repay the difference between.
If you need to upgrade and are unable to bridge the gap financially between properties you will need to be flexible on either location and/or the condition of the home.’
By expanding your search requirements and realistically assessing your needs you are able to achieve a better short and long term strategy and in the process improve your financial position. You may be able to pick up a home which has the bones of what you need in a neighbouring suburb which is liveable and has the potential to be your dream home over time as you can afford the renovations. As the demand for housing continues to increase the neighbouring suburbs to premium locations increase in value exponentially.