It happens all the time: For one reason or another, people simply outgrow their current homes.
Maybe you just welcomed a new baby to the family or invited your in-laws to move in. You might have a teenager on your hands who just got a driver’s license—forcing you to realize you need a bigger garage. Or maybe you’ve simply been in your home long enough to see that your tight floor plan is no longer working for the way your family lives.
Whatever the reason behind it, you’re not alone. Every year, across the country, homeowners realize they need to either expand their current home or build a new one to get that precious extra space. The question is: Which option is right for you?
At first glance, simply expanding the square footage of your current home probably feels like the smart choice, however this option is often more expensive.
You should also consider the following factors that may impact your decision:
- Floor-plan options. When you expand your current home, you are constrained by your existing floor plan. Of course, you can add rooms or bump out walls to create extra space, but in general, your floor plan will remain the same, unless you are able to invest a significant budget to rework entire rooms. However, with a new custom home, you can select exactly the floor plan you want and make any customization you require, such as extra bedrooms, a second master suite, a game room, or a study. A custom floor plan is important for many second-time homebuyers. In fact, 27 percent of repeat buyers select new construction for their next home because they want a selection of floor plans, according to a survey by Zillow. If you decide to go the custom route, be sure to partner with a builder that provides cost-effective customization options. For example, Adair Homes allows customization of our floor plans without upcharges or fees.
- Property taxes. Depending on the location of your current home, choosing to expand may result in much higher taxes than the alternative. On the other hand, building a custom home gives you incredible flexibility in selecting your land. You can build in a suburb, on the outskirts of town, or in the country. As you search for land, you can make low taxes a priority and actually end up saving money on your property taxes over time.
- Equity. Consider how much home values are expected to increase in your current neighborhood. Is expanding your home really a good investment? Will expanding it make it more attractive to potential buyers, or will it actually make the home more difficult to sell? In many cases, adding square footage to an existing home turns out to be a bad investment. However, building a new custom home gives you the opportunity to add instant equity. This is particularly true if you buy land in an inexpensive area, where home values are expected to increase, and build an affordable, attractive new home.
- Eco-friendliness. Building a new home is an ideal opportunity to incorporate “green” building materials and products into your everyday life. Today’s energy-efficient appliances, insulation, and fixtures can save your family hundreds or even thousands of dollars a year—savings that you wouldn’t be able to enjoy in your current home.
Ready to learn more about your options for building a new custom home? Browse our customizable floor plans to see which home would fit your family’s needs.
