Build extension, or not

iglimpse

We have recently paid off our mortgage and are both 55+. 3 bed semi. The kitchen needs gutting, garage needs a new roof. Last of 3 kids is off to Uni this year.

Last year we went got plans for putting an extension on the kitchen, making it square (currently rectangle shape) and turning the garage into a small room and a utility approx £55,000 quoted, will swallow up most of our savings.

OH has now gone cold on the idea, says we don't need an extension, just do the garage conversion. We can use the back room as a dining room, ugh.

On the one hand, I really wanted the large kitchen with good dining space (dining is currently a bit squashed), large social area appeals to me. I felt it would also add value for when and if we ever sell (no plans but given our age, bungalow might not be that far away!)

Kids think we are nuts to extend at our age !!

So we have DITHERED for over a year now and it is driving me nuts, kitchen doors falling off, drawers that don't work. Got to do something, help and advice appreciated please :mad::beer::D

warehouse

I'd say your husband is concerned about removing the safety net of all of your savings. Obviously extending will add far more than that on to the value of the house, but that's out of reach until you sell.

Is there a halfway compromise here that will get you a new kitchen and an updated house without devastating the savings?

robatwork

Buy the bungalow now, and put your savings into that.

Mojisola

iglimpse wrote: »

Last year we went got plans for putting an extension on the kitchen, making it square (currently rectangle shape) and turning the garage into a small room and a utility approx £55,000 quoted, will swallow up most of our savings.

OH has now gone cold on the idea

I'd be with your OH.

At 55+, you're a long way off needing a bungalow but if the current house is a problem, why not look around for a new property?

Doozergirl

If it does improve value confidently above the cost of it then no one loses. You get the space and you both benefit from the uplift.

I was listening to a 'use it or lose it' article on radio 2 a few weeks back. Professional opinion was that people must keep active and not buy a bungalow as it would eventually prevent you from climbing stairs more than help you. If you don't do it, you can't do it.

Mojisola

Doozergirl wrote: »

If it does improve value confidently above the cost of it then no one loses.

You might end up with a house worth a few thousands more but you can't take a few bricks and buy a new car or go on holiday or replace things that break down.

Doozergirl

Mojisola wrote: »

You might end up with a house worth a few thousands more but you can't take a few bricks and buy a new car or go on holiday or replace things that break down.

And if you sell the house without making the most of it? You can't buy a new car with money you pay in Stamp Duty or an estate agent either, and your money goes on a new house anyway not increasing your pot or buying holidays.

New cars and holidays are liabilities. If the extension extension improves value then it's both an asset and an investment - there's always the option of a small mortgage if things get tight, or indeed selling up and getting your savings and the profit back or whatever reason. The car and the holiday are paid for by profit.

If current house extended = current value + savings, then bigger new house = current house + savings + the profit you would have by extending current house to be the same size as the proposed new one.

Mojisola

Doozergirl wrote: »

New cars and holidays are liabilities. If the extension extension improves value then it's both an asset and an investment

If you're happy to spend all your savings on the house and take comfort that it represents capital, that's fine, but life could get very boring.

We've just had a similar discussion and decided that we would rather have a financial safety net in our retirement and the opportunity to enjoy ourselves a bit than build an extension.

robatwork

Doozergirl wrote: »

I was listening to a 'use it or lose it' article on radio 2 a few weeks back. Professional opinion was that people must keep active and not buy a bungalow as it would eventually prevent you from climbing stairs more than help you. If you don't do it, you can't do it.

This sounds like a total load of horse manure.

You can be bone idle in a house with stairs, or highly active in a bungalow. Bungalows also tend to have more gardens, which is a good way to keep active.

There are also much better ways for older people to keep fit - particularly in water where joints won't suffer so much.

Professional my eye.

vansboy

Nobody has mentioned the hassle factor.

do you REALLY want all the work (even if you do none of it yourself) and upheavel which goes with an extension?

Will it add enough value to compenste for this.

Will you be selling soon after and not get any benefit, other than finacial increase, from the work.

A big dent in your savings, might well be more profitable spent on the house than in ISA or bank, though.

VB

aggypanthus

It sound very expensive, a garage conversion alone costs from 5 or 6 k. Get more quotes.