Should You Buy a Bigger Home?

Start by making a list of the features you need and want in your bigger home such as extra bathrooms, space for a backyard pool and barbeque pit, in-law suite, etc. Once you figure out what functionality your new home will provide, it will help you narrow down the list of potential homes and keep you on track as you shop around.

How Much Home can you Afford?

Check with a realtor to find out what your current home would sell for. Our Home Evaluation Comparative Market Analysis will compare your home to others in the same neighbourhood with similar features and give you the value you can sell for today.

Next, speak to your lender and get a pre-approval to see what range of purchase prices your budget can best support. Do not live “house poor” where you are making just enough to pay off your mortgage when upsizing your home but are unable to enjoy the comforts of life you have become used to.

Work Out the Timing in Advance

Are you able to comfortably carry two mortgages when deciding on upsizing your home? And if you sell first, are you able to arrange for temporary housing and storage? Another option is to list your home with a 90-day closing condition and/or to buy a home with a 90-day condition to sell yours. Be advised that contingencies may also prevent certain potential buyers or sellers from accepting your offer or making you an offer.

Cost of Living Increases

Upsizing your home may mean a bigger yard and extra rooms and bathrooms, however, that may also mean more maintenance and repair costs, new furnishings, added utility expenses, higher property taxes and insurance, and perhaps further expenses on landscaping and pool upkeep. Some ways to save on utilities would be to consider energy efficient appliances and light bulbs, low flow faucets, and using reclaimed water for landscaping.

Choosing Your Dream Home

Think long term when you choose your new home and make sure you weigh your options carefully. You want a home that you can grow into and not quickly outgrow since reselling and moving expenses will add up. In addition, think about the resale value of your acquisition if you decide to downsize in your retirement and ensure you buy in a neighbourhood that is in high demand with many amenities to appeal to the widest home buying audience.

Found Your Dream Home?

Get a floor plan of your new home and plan the layout in advance. Draw in your furniture to scale and do not worry about filling the empty spaces right away. Splurging on new décor is always a temptation, but if you wait a few months, you will have a better idea of where you stand financially and what kind of furnishings you need to complete your new lifestyle.