Remodel--How Major Should You Go?
Often, folks desiring more house will undertake a major remodel, as opposed to just selling and moving. Why?
Sometimes it's the cost of doing a new purchase, or they don't want to move for any of a number of reasons.
High prices, a shortage of homes for sale, and a state tax regulation are prompting some California and Bay Area owners to undertake big-money renovations in order to realize the home of their dreams.
The Wall Street Journal reports on several such jobs here in the Bay Area, including a Mountain View couple who could afford only a handful of homes on their $2 million budget in a fiercely competitive market. After purchasing a relatively pedestrian-looking Tudor for about $1.6 million, the homeowners spent an additional $600,000 to give it a sleek facelift using steel, stucco, and stone. One local real estate professional told the publication that the home would now sell for $3 million.
Proposition 13, the California law that reassesses property taxes when a home is sold, can mean big bill increases for buyers given the state’s big price tags, leading some owners to stay put and reimagine their homes. The article tells the story of a San Francisco couple who transformed their plain-Jane bungalow into an eye-catching modern abode. Although the property could fetch up to $2.25 million in the current market, the owner told the Journal that he had no plans to sell.
In any event, if you need some guidance, give us a call. We can often refer you to experts in all phases of the remodeling process. Remember: Peter: (415) 279-6466; Jane: (415) 531-4091.