Hi Guys. Looks like a great forum - just found it today.
The gist of the question is - how much would you spend on renovating your PPOR? and should you consider cost of renovating your PPOR?
The detailed question is:
We are currently purchasing our PPOR. We are in Vermont in Melbourne on a Dual Occ, in the original front house (circa 1960 - ~ on 380 sqm) weather board. The house is a 3 bedroom, 1 bathroom, 1 living area, + dining room (~11 square). We do not yet have an IP but are hoping to do so in the next year.
We have not finished having children - and are looking at renovating to add study, en suite and extra living area and more storage.
We currently owe around 280K and expect it to be worth 450K at the moment.
My problem is, I keep in the back of my mind ("I am not spending 100-120K, just to add the same in value") so am conservative in my designs and what I would like to do. Where as my wife is more liberal in her designs - some times causes a bit of tension.
I guess I would like to know, what the top price our place could be valued at if we had say 200K to spend, or - what is the optimal amount to spend to minimise LVR gain, so we still have enough equity for an IP down the track.
I guess we might be better keeping the place as an IP and finding something that suits our needs, but our neighbors are great, and we don't really want to move.
Another question:
*) would it be better (price/valuation wise) to add a second story, given if we want to come out 3 meters along the front we have to move both the meter box and the incoming mains power?
Cheers
LazyHorse
The gist of the question is - how much would you spend on renovating your PPOR? and should you consider cost of renovating your PPOR?
The detailed question is:
We are currently purchasing our PPOR. We are in Vermont in Melbourne on a Dual Occ, in the original front house (circa 1960 - ~ on 380 sqm) weather board. The house is a 3 bedroom, 1 bathroom, 1 living area, + dining room (~11 square). We do not yet have an IP but are hoping to do so in the next year.
We have not finished having children - and are looking at renovating to add study, en suite and extra living area and more storage.
We currently owe around 280K and expect it to be worth 450K at the moment.
My problem is, I keep in the back of my mind ("I am not spending 100-120K, just to add the same in value") so am conservative in my designs and what I would like to do. Where as my wife is more liberal in her designs - some times causes a bit of tension.
I guess I would like to know, what the top price our place could be valued at if we had say 200K to spend, or - what is the optimal amount to spend to minimise LVR gain, so we still have enough equity for an IP down the track.
I guess we might be better keeping the place as an IP and finding something that suits our needs, but our neighbors are great, and we don't really want to move.
Another question:
*) would it be better (price/valuation wise) to add a second story, given if we want to come out 3 meters along the front we have to move both the meter box and the incoming mains power?
Cheers
LazyHorse