Remodeling Mistakes Overbuilding for Neighborhood

The most common mistake that people make when they are remodeling is that they overbuild for their neighborhood. This happens when the homeowner realizes what the payback is going to be like when they have resold their home. They want to get the most value out of their investment into their home with their remodeling project, so they overbuild. They might have a house that’s $100,000 already, but then they add another $100,000 addition onto it. This creates at $200,000 home -- which is fine in a suitable neighborhood. However, if the homeowner is in a neighborhood where all of the other houses are $100,000 -- or if they live on a block where the houses are substantially lower in worth, then they’re working against themselves.

The reality is that when homeowners overbuild in the neighborhood, they are ruining their chances of anyone being interested in purchasing the house in the future. When a house has a higher value than any of the other houses in the neighborhood or on the block, it becomes more difficult to sell. There are plenty of prospective homeowners which will tour and view the house, but many of them will not be able to afford it or the upkeep that would be necessary to keep the house in respectable shape. As a result, the house becomes the lone house in the neighborhood that is known for being beautiful and well-constructed, but far too costly for anyone to invest in.

There are a lot of homeowners that overbuild for the neighborhood because they have these dreams of making the ‘best’ home possible and being able to have a home that outshines the rest of the other homes that are on the block. However, this isn’t always the best idea because over a period of time, it can cost more for the maintenance ont these types of homes. It can also be difficult to sell them to anyone else because the individuals fear that they will be investing in something that they may not be able to fully cover financially. If the house cannot be sold, then the property doesn’t provide the return that the homeowner was seeking during the remodeling process.

Working together with a remodeling team or service can ensure that overbuilding doesn’t occur. The homeowner will have to work on their project within the terms of the agreement. They cannot continue to overbuild because a good remodeling service will have professionals that will inform them that they are overstepping their goals within the neighborhood and that the ideas are doing more harm to house than anything else. They will be able to provide some suggestions of alternatives that can be done during the remodeling process to mimic similar effects without being too costly. They will also be able to put the remodeling experience into perspective for the homeowner so that they have more insight into their goals.

Amy Wright
Amy Wright is the Lead Editor of Remodeling Central. When she isn't playing with her dogs she is trying to remodel a classic Chicago style brownstone with her husband.
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