To Renovate or Rebuild: Getting More Out of Your Plot of Land

Regardless of whether you’re an investor or a first home buyer, when entering the property market, it’s important you think about what your first steps should be to maximize the value of your plot of land. You could renovate on an existing property, or build something entirely from scratch.

Whatever you choose to do, just keep in mind that either option comes with its own set of pros and cons, which we’ll be discussing in this article.

Rebuild

Pros:

Complete Knock Down Rebuild Sydney is growing more and more common, and it’s no mystery why. Think about your dream house.

Do you want a big backyard? An attic? Wooden floorboards? Rainbow tiles in the bathroom? Maybe this place exists and it’ll be out there waiting for you, or maybe it’s up to you to make this dream a reality.

Building your own home from scratch will also allow you to have full control over the more practical features of your abode, its floor plan, heat and sound insulation, and the quality and environmental impact of building materials to name a few. But this isn’t just for the first-home buyers. Unique or custom-built houses are becoming more attractive in this growing age of cookie-cutter homes. As an investor, you now have the opportunity to play the part of ‘developer’ as well, and ensure that your properties stand out from the crowd.

Cons:

Of course, there will be some issues with designing unique houses if you’re an investor because you simply won’t be able to accommodate every potential buyer. Designing detached dwellings are a passion project for some, and spending that much time on each and every property before selling it along can seem inefficient.

For that reason, it’s no surprise that units and townhouses are on the rise. Moreso, when being given complete control over the design of your own home, it’s not unusual to forget to build for the future. When it comes to selecting the building blocks for their new property, first-home buyers in particular often fail to consider the amount of space they’ll need when their family grows.

Building a home that you’ll need to grow into can be more expensive than building for the present time, so you’ll need to end up renovating anyway. It’s up to you whether you’d want to deal with the extra costs as well as the disruption of renovation when that time comes, or simply spend a little more right now to ensure you won’t need to worry about it later.

Renovate

Pros:

It’s no secret that the value of inner city homes is skyrocketing not just for their location, but also because they’re aesthetic! For that reason, it’s no surprise that units and townhouses are on the rise. Renovating ‘dilapidated’ inner city houses maintains their attractive facade whilst allowing you to explore the depths of your creativity when it comes to their interior.

After all, mixing traditional and modern elements is what Sydney’s architecture does best, and to have a home match that timeless style is every urbanite’s dream. These kinds of properties are growing rarer by the day, and it is by no means an easy job. But the reward can be upwards of a million dollars in profit.

Cons:

That being said, it can be virtually impossible, impractical, and downright unprofitable to renovate some older properties. Renovating comes with an array of challenges, so you’ll need to tread very carefully from the get-go. Before renovating, you’ll need to study your property’s building and electrical reports to ensure that you won’t end up messing with hidden pipes or wiring.

The last thing you’ll need is to deal with water or fire damage alongside structural damage, which is common amongst older timber-framed houses. Even houses built in the early twenty-first century can sometimes have walls or pillars that are just unable to be knocked down. It can be a stressful challenge, but certainly not an impossible one so long as you stay motivated.

So keep in mind that each and every property is different. You should approach your projects with careful consideration of what could be your best path. For some homes, renovating could really enhance pre-existing attributes.

But again, if your fixer-upper isn’t worth fixing up, a knock-down rebuild could create something fresh and magical.

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