The big question! House extensions – are they worth it? According to the TSB in 2019, two out of five home owners would rather extend their property than move house. With the stamp duty holiday now at an end, moving house is again subject to stamp duty calculations on any property over £125,000 in value.
It’s an expensive business, moving house, not only from a monetary point of view, but the upheaval of moving your family, settling in a new area, the stress of the conveyancing process, all add up to a bit of a headache!
We’re going to weigh up the pros and cons of moving house against extending your current home – which is right for you and which will give you the most benefit.
House extensions – are they worth it?
Beware – house extensions are not all the same! Some will add value to your property, but some, alas can actually devalue your home. Read on….
Moving house
Why do people move house? Why do they want the upheaval of all that making a new home entails? The main reason, according to TSB, is ‘more space’. Perhaps their family is growing, perhaps they’ve outgrown their current home, perhaps, particularly following the Covid pandemic, they want a bigger garden space, a bigger kitchen, an office space? The reasons are endless, obviously. The housing market recently has gone bonkers due to the stamp duty holiday, but now that’s come to an end, the housing market has quietened down and it’s become more expensive to move house once again.
The costs of moving house don’t just start and end with stamp duty. There’s deposits, surveys, conveyancing, estate agency fees and the removal company costs. Added into this, the aggravation of it all, it’s a decision that’s not to be taken lightly.
Even if you have decided to move house, the actual ‘dead’ money you pay in fees can add between 10-15% onto the cost of your new home. On top of that there’s the possibility of mortgage redemption fees, mortgage arrangement fees – all of this money, you’ll never get back.
Extending your current home
Since the permitted development rights were altered in 2019, around 19% of homeowners are now more likely to extend their property to the rear or side, than to move.
The belief is that extending their home is cost effective and adds value to their current space.
There are many benefits for ‘staying put’ and increasing the space you’ve already got – maybe the kids are settled at school, convenience for work or shopping, your friends are around you….
Adding floor space adds value, in the main, but good design, layout and functionality are of upmost importance. People are looking for tasteful and modern, open plan living these days.
You can expect to pay around £1,500 – £2,000 per m2 for an extension, and then there’s architect fees, planning permission, property surveys, building regulation checks to cost in as well.
So, which extensions are worth the money?
Single storey extensions
This is one of the most popular extensions, usually at the rear or the side of the property. It could add between 5-10% to the value of your property. Sometimes, you may not even need planning permission.
Double storey extensions
To extend both storeys of a house will increase the space dramatically. It’s estimated that a double storey extension could add another 20% to the value of your property, but it’s worth noting that the building costs will increase also.
Loft Conversions
This type of conversion is the least disruptive and probably the least expensive. Maybe you want to add another bedroom or bathroom, when a rear extension is prohibited. Converting your loft could increase your house price by around 12.5%
Conservatories
A conservatory has many benefits – it’s quicker and cheaper to build, adding, on average 5-7% to the house value.
Kitchen extensions
These are possibly the most expensive extensions of all, mainly because of the plumbing and electrical expertise that’s required. However, when done well, it can add a lot of value to your property.
Basement conversions
These are becoming increasingly popular, particularly in older Victorian terraces, where the space to the rear is inadequate for extension. The basements in these houses are perfect for conversion, and often you don’t need planning permission. And you’ll be adding around 15% to the value of your property!
If you need more information on extending your home or converting your current space, give us a call on 01452 619871. We’re CellarTech Southwest – providing extension and renovation services around Gloucester and the South West.