The Homeowner’s Dilemma: Buy/Build New or Renovate Old?

Image of the front of a red brick house, in dappled sunlight Here at Myers Constructs, we see clients facing this decision a lot right now. In fact, I am feeling it myself!

There seem to be a few forces at play. During COVID, we all felt like our houses shrank around us because we were not only living in them, but also working and schooling in them. Then after COVID, home prices surged significantly. Many of our clients saw their home’s worth reach 1.5-1.75 times what they were pre-COVID, leaving them to wonder whether they should make a move in the hot seller’s market. But, in order to buy a “move up” house, they found they would typically need to spend more than 2.5 times their home’s current value — which means they usually decided that it was wiser to renovate or add onto the house they are in now than to buy or build their “dream house.”

We’re also seeing more of the following trends:

  • Clients are moving from more expensive locations like NYC to Philly because they get far more for their money here.
  • Families are combining their wealth and living together multi-generationally.
  • Renters are paying up to 30% more than in pre-COVID days, making it cheaper to buy a “fixer-upper” now than to rent, even with higher interest rates.

In each of these cases, we help our clients clearly understand the value of investing in upgrades to their homes, and then we create and implement a plan for making those improvements. Our clients are thrilled to find that their old spaces now feel fresh, are aligned with their personal style, and offer all of the amenities their families require — from reorganized modern spaces to larger footprints and beyond.

Does your old space need new life? Contact us to start a conversation today.