It seems that the market is improving (at least the North Georgia market is) and my phone is beginning to ring again, which is a positive sign :-). The North Georgia (Blue Ridge) market AND demographics are changing at a very steady space.
Most of my clients already own a home in the Mountains, and are thinking of making the move, and leave the hectic - nobody should have to endure - city life. Their cabins served nothing else but a weekend getaway to this point - size, comfort, lifestyle were not a major issue as we all like to 'rough' it when going fishing or engaging in outdoor activities. Living here full time is a different story.
So how much is really feasible to spend on an addition and where is that fine line between the remodeling and exchanging the property to something more suitable?
The fact is that we all have a million dollar taste and very often a much more limited budget, therefore it is very prudent to establish a budget. Secondly, will the budget allow for changes needed for the lifestyle we have in mind and if we should go ahead and invest in the property, will we be pricing ourselves out of the market, i.e, will the current value of the property plus the additional investment make the property impossible to sell, should the need arise.
I have had enough experience (almost thirty years - as much as I hate to admit to it) that I can put a fairly accurate number to what my clients' needs and requirements are. It is very prudent at this point to consult a Realtor, and get a good idea of the market trends. It might be financially more sensible to put the house on the market and look for something fresh 'out of the box' that would better suite our needs - especially in this economy, where some incredible properties can be purchased for a very reasonable price.
If the decision is to go ahead with the remodel/addition, I often recommend to my clients to get a master plan done with their ultimate goal in mind, and from their master plan come up with a list of priorities. Once the master plan is complete and priorities are set, the project can be phased out in a very organized and intelligent way. We can add the additional square footage; install the new kitchen; fix the bathrooms but perhaps hold off on the pool or the new deck. Having a master plan will allow taking a break from the project and re-address it in a year or so, when market conditions or financial projections (and budget constraints) change. Also, a permit is good for at least a year (different in some areas) and can be extended easily. This way we can avoid having to make changes due to building code
Having a master plan also helps in avoiding change orders - contractors will bid apples to apples and nothing - or very little - is left to guesswork. Most remodel projects go over budget - not as much during construction but when interior finishes are selected. It is very easy to see a light fixture which "will look so much better" but costs $1000 vs $150. Be sensible, know your budget and do research - most importantly, talk with your designer and talk with your Realtor - we know the market, we have the experience and can be invaluable help in the process!
Well, good luck with your projects - just FYI - I welcome questions and will be glad to offer some feedback should you have any questions - no charge of course :-)
Comments(3)