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Is it time to renovate?

Discussion in 'Real Estate' started by Billv, 12th Jan, 2009.

  1. Billv

    Billv Getting there

    15th Jul, 2007
    Sydney, NSW
    Whether it's simply a new deck or a complete rebuild of your home, 2009 is shaping as the perfect year to do it.

    Home renovation is expected to make a comeback this year as cheaper materials, more competition among builders and uncertain property values make their mark.

    One reason renovating will become more affordable is that the cost of materials is expected to drop due to the economic downturn and falling oil price, Dale says.

    Senior economist at BIS Shrapnel, Jason Anderson, agrees: "As the cost of fuel comes down, things like the surcharge that was put on bricks last year should be removed in coming months."

    Reduced fuel costs will also mean cheaper cement and steel, Anderson says.

    "Steel is already coming down," he says. "It probably hasn't retraced the gains it made in 2008 but that will happen as the year progresses."

    Dale adds: "In the coming six to 12 months, it's going to become relatively easy to find tradespeople. It won't be a matter of making a call and someone coming to the door an hour later but it might take three days for a tradesperson to come around rather than 12 days."

    The increased competition for work is not limited to tradespeople, says the state manager of Archicentre, Angus Kell: "I know that a lot of architects are out there looking for work."

    The more competitive jobs market in the industry is in large part due to a shortage of high-rise developments, Dale says.

    None of which is news to Gerald Marr, of the Deck Builder (0415 255 269), in Forestville.

    "As larger construction jobs are being put on hold, that has a filtered effect on the domestic market because there's more competition among builders to do the home renovation jobs," he says.

    All of which leaves home owners with one question: are you better off going for the total home overhaul or a few small changes?

    more here date to renovate
  2. Jacque

    Jacque Team InvestEd

    16th Jun, 2005
    It's such an individual choice- renovating one's PPOR. The biggest mistake people make is overcapitalizing for their particular area or street, however at the end of the day it's really a lifestyle decision.