Remodel or Move? How Twin Cities Homeowners Can Actually Decide
"We love the neighborhood, but we've outgrown the house." If you've said some version of that sentence, you're in the middle of the remodel-or-move question, and it's one of the biggest financial decisions a homeowner makes.
We're a remodeling company, so you'd expect us to say remodel. But we've also told plenty of people their money was better spent on a different house. Here's the framework we actually use.
First: What Moving Really Costs
People compare a $75,000 remodel to a $0 move, and that math is fantasy. In the Twin Cities market, changing houses costs real money that buys you no house at all:
- Selling costs: agent commissions and closing costs, typically 6-8% of your sale price. On a $450,000 home, that's $27,000 - $36,000.
- Buying and moving costs: closing costs, inspection, movers, and the immediate spend every new house demands (window treatments, paint, the fence the dog needs). Realistically $10,000 - $25,000.
- The interest rate question: if you're holding a low-rate mortgage from a few years back, a new loan at today's rates can add hundreds of dollars a month for the same balance. For many families this single line item ends the conversation.
Total friction cost of moving: often $40,000 - $60,000+ before the new house is any better than the old one. That's a serious remodel budget.
What Remodeling Fixes Well
The remodel answer is strong when the problem is the house's condition or configuration:
- Dated or dysfunctional kitchen: a kitchen remodel solves this permanently
- Not enough finished space: finishing a basement adds a family room, bedroom, and bath for far less per square foot than buying bigger
- Bathrooms that don't work: whether that's too few, too dated, or not aging-friendly
- Wrong walls: closed-off main floors in older homes can usually be opened up
- Tired surfaces: flooring, trim, paint throughout
If your list looks like that, and you like your lot, block, schools, and commute, remodeling usually wins the math.
What Remodeling Can't Fix
Be equally honest about this list, because no contractor can change it:
- The lot: size, sun, slope, that neighbor
- The location: school district, commute, walkability
- Basic size limits: you can add on, but small lots and setback rules cap what's possible, and additions are the most expensive remodel dollar
- Ceiling height and footprint of the house you have
If what you really want is a different neighborhood or twice the square footage, remodel money won't get you there, and we'll say so.
The Questions That Settle It
- Would you buy on your street again? If yes, that's a big vote for staying.
- Does your problem list fit inside the house's bones? Kitchen, baths, basement, flooring: remodelable. Lot, location, footprint: not.
- What does staying cost vs. leaving? Get a real remodel estimate and a real market analysis from an agent. Compare actual numbers, not vibes.
- What's the disruption tolerance? Moving disrupts once, hard. Remodeling disrupts for weeks while you live through it. Neither is free.
- Ten-year test: picture the remodeled house. Are you happy there in ten years? If yes, the remodel likely beats the move financially. If you'd still be itching to leave, don't spend the money.
Get the Remodel Half of the Answer
You can't make this decision without knowing what the remodel actually costs, and internet averages aren't your house. Schedule a free consultation and we'll give you a detailed estimate for making your current home work, whether that's a kitchen, a basement, or a whole-house plan. We work throughout the metro, from Minneapolis to Eden Prairie to Prior Lake.