Pros and Cons of New Construction vs. Renovations

Should we renovate our house or tear it down and rebuild it?

We are often asked “how do we decide if a renovation or a rebuild is the best decision for us?”

Well, first of all, let’s examine the difference.

With a rebuild, your chosen contractor will demolish the entire living room and rebuild it from the ground up. A renovation, sometimes called a remodel, focuses more on a specific area of ​​your home, like your kitchen or basement.

Second, for the purposes of this article, we’re assuming you love your location and absolutely insist on staying where you are.

So with that in mind, how does one decide which way to go?

The two main factors will be the age of your home and your budget. In general, if your house is approaching 70 years old, that is, it was built before 1950, and your budget can absorb it, our recommendation would be to rebuild it. This gives you a new board in the future. For example, you’ll know that your rebuilt home must meet all applicable building codes (no need to worry about asbestos, old wiring, or any of the other safety issues that are common in older homes).

There are also additional advantages to this approach. Since you are starting fresh, less time is required for integration between old and new areas; this can be a tedious and difficult process. Also note that the options are greatly expanded with a rebuild; a typical example is a 10′ ceiling height throughout your home. This is a simple feature to accommodate, structurally, during a rebuild, but often a difficult change to make in a renovation, where the existing floor plan of the house will impose limitations.

Lastly, if your mindset is long-term, it’s usually a better financial decision to rebuild, despite the extra money required up front. The reason for this is that the entire house receives a general “reset” and is therefore more likely to hold or increase in value in the future.

As with any decision like this, there are some downsides to consider. With a rebuild, you’ll have to relocate temporarily (try to find a contractor who can offer accommodation), while with a renovation, you can usually stay in your home during the process. You may also have some neighboring or community factors to consider.

Hopefully this has helped you make the decision that suits you best.