Customized Home Additions

Benefits

A lot of positive aspects come along with expanding the boundaries of an existing home, which is why homeowners should consider doing it.

Building room additions onto their existing home are among the best and most cost-effective financial alternatives to a space problem.

When weighed against the cost of purchasing a brand-new house, the addition of a home extension emerges as the more financially prudent choice. In particular, when the customers take into account the costs that are associated with the transaction cost. For example, when clients calculate the cost of commissions, moving expenses, and closing costs associated with purchasing a new home, the cost of a significant addition or renovation becomes an attractive alternative.

The freedom to design virtually anything exactly how one sees fit is the second most significant benefit enjoyed by homeowners. Discussing the options with a design-build remodeling professional is helpful after the client carefully considers changing lifestyle needs.

Remodel Me Today will pay attention to the client’s needs and look over any documents or ideas the client brings forward to investigate all available possibilities.

After finding viable options, the client should hire someone to design their desired improvements and determine if they will meet future needs.

The client’s desired addition and improvements should be designed by a professional design-build general contractor while adhering to the client’s budgetary constraints.

One of the most important things to remember when weighing various alternative considerations is the inherent value loss during the buying and selling transaction process.

Increasing a home’s square footage can increase its value while maintaining its capital appreciation.

The homeowners’ capital appreciation over the years neutralizes the purchase price of the home they are buying.

The amount of capital appreciation the seller has accumulated reflects, at least in part, the price they are paying for the house they are purchasing. As a result, the seller’s capital appreciation cancels out the value brought about by the increase in sales price.

The prices of homes and land have, on average, increased by three to six percent every year. Still, this figure can vary widely depending on the region where residents live. For example, a modest home value in the metro area of $200,000 over five years would represent a value appreciation of $50,000 at a rate of 5%. Its basis is on the assumption that the home’s value has not changed. On the other hand, if homeowners used the average value of $500,000 for higher-end neighborhoods over the same period and applied a growth rate of five percent annually, the appreciation over five years would be $125,000. In either of these scenarios, the value appreciation of the home over a relatively short period would pay for the addition or major renovation to the existing home at a higher rate than the original cost.

The actual cost associated with the transaction is another important factor in a buy/sell scenario; however, that is taken for granted sometimes. The sales commission on the property sold, the closing costs on both sides of the transaction, and the cost of moving are the components that make up the transaction cost. Let’s look at both of the scenarios from earlier (commissions six percent, closing cost one and a half percent, moving cost half a percent). If we were to sell and buy something for $200,000, the total transaction costs would amount to approximately $16,000. Total potential value transfer loss of $66,000 = ($16,000 + $50,000). If both parties agree to a price of $500,000, the sum in question will amount to approximately $40,000. The loss of potential value during the transfer adds up to $165,000 ($40,000 plus $125,000). It is essential to point out that these costs do not consider the costs associated with making the personal improvements that the customers want to make to the home they purchase.

Homeowners over 65 and whose primary residence also serves as their homestead are eligible for additional tax breaks and benefits if they have a homestead exemption on their property. It is an absolute advantage worth mentioning, and it applies only to homeowners who are in the senior age group. The additional tax benefits that seniors receive come in the form of additional homestead exemptions and a cap on the amount of their home’s value that is subject to taxation.

After improvements and cost adjustments, homeowners can increase their home’s square footage while still benefiting from the valuation cap.

The lifestyle and amount of space available in a home can be changed by additions. When planning the room addition, the most important consideration is ensuring that the transition from the old to the new space is smooth and unnoticeable. It is not only important from an architectural standpoint. Still, it can also negatively impact the home’s value if the work’s outcome needs to be corrected.

Because of this, We at Remodel Me Today ensure a thorough plan in place for the new space and a clear visualization of the details before beginning any improvements.

The advantages of 3D drawings provided by Remodel Me Today are extremely helpful in visualizing the placement of furniture and fixtures, as well as the color and contrast of the completed space.