Homeowners who need an extra bedroom would be better off financially if they built a loft extension rather than moving to a bigger a house.
That’s according to analysis into the costs of upsizing versus renovating which found, on average, making major home improvements can cost £68,000 less than moving house.
Building a loft conversion to homes across Britain costs, on average, £38,182 while the typical price movers pay for upsizing from a two to a three-bedroom house is £106,323.
Regional differences
Zone into certain regions and the cost of upsizing can be even more expensive. Indeed, in the City of London the price of moving up the ladder to a three-bed property would cost an additional £2 million compared to the £38,000 charged for a loft extension.
Although this is quite extreme, there are still some – slightly more affordable areas – where the difference is still stark.
Indeed researchers found places such as the Surrey boroughs of Elmbridge and Mole Valley, along with Windsor and Maidenhead and Chiltern were amongst the most expensive to move compared with the cost of converting the loft.
There were some places in the UK, however, where it was actually cheaper to move to a bigger home than pay for the extension, the study by tradesperson comparison site, HaMuch.com found.
In Selby, North Yorkshire, for example, moving up to a three-bed from a two-bedroom home would cost just £3,676 – making it £34,500 cheaper to upsize than renovate.
Meanwhile, Middlesbrough, Bradford, Caerphilly and Blackpoool are also amongst the most affordable upsizing areas where moving house to bigger three-bed can actually be between £13,000 and £19,000 cheaper than the loft conversion.
Adding value
Tarquin Purdie, founder and CEO of HaMuch.com, pointed out that not only is the loft conversion often a cheaper way to create more space, but it will also add value to your property when you come to sell.
“Three bed homes are often the most sought after for growing families and as a result, the price difference between a two and three bed home can take a notable step up,” he said.
He added: “It may be much more cost-effective to add a third room to your existing home than it is to upsize and buy a bigger house.
“Not only will this provide you with the additional room you need, but it could also result in a much greater return if you do come to sell.”
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