# Ideas - Moving but I want to keep my house!



## Simon Says (Jan 5, 2013)

Here's the scoop everyone,

I have a small farm with 5 acres, it's an old farm house that has been remodeled. We own it outright, taxes are cheap - less than $3k per year. My family is out of space and it just doesn't make sense to build an addition. By time we build the addition and do all the other things that need doing we'll end up with an old farmhouse, with a new addition attached but still have all the problems of an old farm house. Additions, septic systems etc are not on the table here, I would never get my money back out. Since we own the place and have done well financially we can afford to buy a modest new home in our area without issue even if we don't sell this place. The problem is I know if we sell it we'll probably never own property in the country again. If we keep it who will live here? Who will spend three hours a week cutting grass and keeping up the place? I don't know what to do, we're moving sooner or later, I don't mind keeping it but I just don't know what to do with it. Renting seems like a horribly demanding endeavor. Mind you we don't have the cash to buy another house, we will need a mortgage, all our money is invested.

I may be dreaming but does anyone have any kind of ideas on this? Any thoughts on how I could keep this place or why I should keep this place? I just feel like once it's gone we'll never own anything like this again, if I can find a good financial reason to keep it than I just might!

Thanks so much,

Si


----------



## Mukhang pera (Feb 26, 2016)

I am not sure what dynamics are at play here, how much attachment the rest of the family feels about the farm, relocating etc.

But, it seems to me that if you all are attached to the place and could see staying long term if you had more space, then I am not sure about the reluctance to put some money into making the place the way you would like it. True, it might be long term or never that you would get your money back out, as you say. But (and I suppose I will find myself in the minority on this, particularly on a forum about money) not all things can be valued in money. Let's say that, as of today, you could sell the place, as is, for $300,000. Now let's say that spending $75,000 on improvements would make living there much more satisfying for a long time. And lets say spending that $75,000 might only result in boosting the market value to $325,000. If you plan to remain there for 10, 20, 30 or more years, does it matter? You and your family will derive much enjoyment from the place, make good memories, etc., over a considerable span of time. Would that not be worth the price?


----------



## Mortgage u/w (Feb 6, 2014)

Seems to me your mind is set on keeping the place. Even if you buy elsewhere, you're not keen to letting go of the farm.

That being said, my recommendation is to tear down the place and build the house of your dreams. You will not be happy with an extension so here is your opportunity to build a new home without forking over the cost of buying someone else's home in an over-inflated market. AND you get to keep living in the countryside. The cost will not be as much as you think, especially if you build a modest home.

Also, see if you can divide your acreage. This way, you can sell off some land to compensate your building cost.


----------



## new dog (Jun 21, 2016)

I wonder if it is possible to build beside it if you have land and have two houses. Maybe you can rent the old one or tear it down after the new one is built. Before you decide put all options on the table, price them out, see if they make sense to you and your family and then go with one of the options.


----------



## lonewolf :) (Sep 13, 2016)

About 15% extra to go net zero. Home creates as much energy as it uses.


----------



## mordko (Jan 23, 2016)

You either sell it or you do whatever it takes to make it work. Letting a farmhouse does sound like too much risk and trouble. Have it sit is not a good option from a financial point of view.

If you decide to stay, as Mortgage said, rebuilding generally provides a much better value than a reno or extension, although it depends on the market.


----------



## Mukhang pera (Feb 26, 2016)

I too would say build new from scratch if you have the funds. However, I do not know where you are located and what construction costs are there. The cost of going new might not be realistic. 

We too live on rural acreage and would not give it up. But we are in a somewhat remote, off-the-grid location and building new costs about $300 per square foot. We bit the bullet and paid that, because we were starting with raw land and there was no choice. All that was here at the start was a rustic cabin I built myself long before I ever thought of living here full-time. We lived in that cabin some of the time during construction and that worked well, but it was not the type of structure to which we could have made an addition. I doubt we could sell today for all we have put into this place, but we really don't care. We accepted that at the start. We were building a home that would be home for a long time, perhaps for more than one generation, and we did not analyze the costs in terms of it being an investment.


----------



## heyjude (May 16, 2009)

If you like the area, rebuild. If you don't like the area and your land is fertile, knock the house and lease it to a farmer.


----------

