When you’re shopping for a new home, you probably want the property to be as “move in ready” as possible. That way, you can... well... just move in!

However, there are a lot of fantastic properties on the market that need some work. For example, you might see a home that has everything you need, but the kitchen is long overdue for a renovation. Or, you might view a property that requires a lot of repairs and painting — tasks that, at first glance, seem overwhelming.

You don’t want to just pass on a property that might be a great buy. On the other hand, you don’t want to purchase a home, only to end up with more renovations, repairs and expenses than you anticipated.

What’s the solution? Here’s an idea.

When you view a home that needs work, make a note of exactly what needs to be done. Stick to the important “must have” improvements and leave “nice to have” improvements for a later time. Chances are, you’ll identify just one or two projects — such as “paint all the walls” or “replace the countertops in the kitchen”.

Once you have that list, you’ll be in a better position to determine how long the work will likely take and the approximate cost. This will give you some needed perspective on whether or not to buy the home.

If a home you’re considering needs $15,000 in work that can probably be completed within two months, that might make the property worth buying. In fact, it probably would!

So, when you see an otherwise ideal home that needs some work, don’t let your imagination make that work into more than it is. Take notes and get estimates.

In the business world, a phrase that’s often used is ROI or Return On Investment. It refers to the regular gain (or loss) you’re getting from a particular asset relative to its cost.

When it comes to your home, the gain may be more than financial. It may include the benefit of the lifestyle it gives you. For example, a spacious backyard deck pays off in countless pleasant Saturdays with friends and family. A home’s location near convenient commuting routes means less stress getting to and from work.

Lifestyle factors are important, not only when considering where you’re living now, but also when considering where you think you’d like to live in the future.

That’s why it’s a good idea to do a Lifestyle Assessment regularly. The exercise is simple. Make a list of all the lifestyle characteristics you want in a home, as well as a neighbourhood. Think about how much room you need, the kind of neighbourhood you want to live in, your hobbies and interests, what’s important to have nearby (such as schools), and so forth.

The next step is to prioritize. Move items on your list around so that the most important lifestyle factors are at the top.

Finally, review the list and check off those lifestyle factors your home is currently providing.

If you’re able to check off most (ideally, all) of the items at the top of your list, you’re in pretty good shape. Your current home is probably giving you the lifestyle you want.

But if some important lifestyle factors are unchecked, it might be worth considering whether buying a new home will give you a better “Lifestyle ROI”.

If, after doing this exercise, you’re curious about how to get into your ideal home, call me.