Renovate or Relocate- How to decide what is right for your family

Renovate or Relocate- How to decide what is right for your family

At some point, most homeowners face the age-old question: Should we stay and upgrade our current home, or pack up and move to something better suited to our needs? Whether your family is growing, your lifestyle is shifting, or you simply crave a change of scenery, deciding between renovating and relocating is a significant life and financial decision.

Each option has its pros and cons, and what’s right for one family may not suit another. In this guide, Lew Geffen Sotheby’s International Realty explore the key factors to help you make the best decision for your household.

1. What’s Driving the Change?

Before diving into finances, step back and ask why you’re considering a move or renovation in the first place.

• Is your family growing and you need more space?
• Are you looking for a better school district or safer neighbourhood?
• Do you want a modern kitchen, home office, or entertainment area?
• Is your current home starting to feel outdated or too small?

Understanding the core reason helps shape your direction. If the issue is space or layout, a renovation may suffice. If it's about location, commuting, or school zones, moving might be the better path.

2. The Case for Renovating: Make the Home You Love Work for You

If you like your current location and the issues are mostly cosmetic or layout-based, renovating can be a great option.

Pros:

• Stay in your neighbourhood, close to work, school, and friends
• Avoid moving costs like transfer duties, agent commissions, and legal fees
• Customise your space to suit your exact taste and needs
• Increase property value with smart upgrades

Cons:

• Renovations can be stressful and time-consuming
• Budget overruns are common
• You may have to live through the disruption
• Some properties have structural or zoning limitations that limit how much you can change

Before committing, consult with an architect or builder to determine what’s realistically possible on your site - especially if you're considering major changes like adding a second floor or knocking down walls.

3. The Case for Relocating: Start Fresh with a New Space

If your current location no longer works for your family or your needs have outgrown what your house can provide, relocating can be a smarter move.

Pros:

• Upgrade to a move-in-ready home with the features you want
• Change neighbourhoods for better schools, transport, or lifestyle
• No need to deal with construction delays or planning permissions
• Opportunity to downscale or upscale depending on your goals

Cons:

• Costs are high: agent fees, transfer duty, bond registration, moving expenses
• You may need to compromise on location, style, or budget
• Moving can be disruptive, especially with children
• The market may not be favourable for buying or selling

If you're relocating, make sure your new neighbourhood ticks off your key lifestyle boxes (commute, safety, community, schools) and that the property suits your long-term needs.

4. The Financial Breakdown: Renovating vs. Moving

To make an informed decision, crunch the numbers. Here’s what to factor in:

Renovation Costs:

• Architect or design fees
• Building contractor and materials
• Council plan approvals
• Temporary accommodation (if needed)
• Contingency fund (usually 10–20% of budget)

A medium-sized renovation (e.g. kitchen + living room + one bathroom) can cost anywhere from R250,000 to R800,000 or more, depending on finishes and scale.

Relocation Costs:

• Estate agent fees (up to 7.5% of sale price)
• Bond registration and transfer costs on the new property
• Transfer duty (calculated on a sliding scale)
• Moving company fees
• Utility connections and other admin costs

For example, buying a new home for R2.5 million could incur R100,000–R200,000 in costs just to complete the transfer and move in.

5. Emotional Factors to Consider

While money matters, so do emotions. A house isn’t just bricks and mortar - it’s filled with memories, routines, and a sense of belonging.

Ask yourself:

• Are you emotionally attached to your home?
• How will your children cope with changing schools or neighbourhoods?
• Does staying or leaving align with your long-term lifestyle goals?

Don’t underestimate the stress of moving or the disruption of construction. Consider your family’s tolerance for change and inconvenience.

6. Long-Term Outlook: Resale Value and Investment

Your home is also an investment. Think about:

• Will renovating significantly increase the resale value?
• Is the area appreciating or stagnating?
• If you move, will the new property offer better long-term growth?
• Are you planning to stay put for 5–10 years?

In growing suburbs or desirable school zones, buying into a better location can offer greater long-term returns. On the other hand, renovating a well-located home can add huge value when done properly.

7. A Balanced Approach: Renovate Before You Sell

If you're unsure, a hybrid approach might be the answer. Make minor upgrades (fresh paint, updated kitchen or bathroom) to improve your current home’s value, then sell it and move. This way, you enjoy a better space in the short term while positioning your home to fetch a higher sale price.

There’s no one-size-fits-all answer. Renovating makes sense if your location still works and your home has potential. Relocating might be better if your needs or lifestyle have changed dramatically.

Start with a clear understanding of your goals, budget, and what’s realistically possible in your current home. Talk to professionals - estate agents, builders, financial advisors - and involve your family in the conversation.

Ultimately, the best choice is the one that aligns with your life stage, finances, and vision for the future. Whether you stay and upgrade or start fresh somewhere new, the most important thing is that your home works for your life—not the other way around.