Extending a property 'may be a shrewd move for sellers'

Tuesday 17 May 2011

Article by Mozo

Aussies considering selling their property and taking out a home loan to buy a new residence in the future may find that improving their existing abode makes financial sense, it has been claimed.

Extending a property 'may be a shrewd move for sellers'

Anna-Marie DeSouza, editor at Build It magazine, cautioned those considering this strategy to take care over the amount invested in the alterations.

Despite this, she stated: "Investing in your home is a highly profitable manoeuvre under various circumstances."

She explained that the cash put towards adding an extension or making other changes needs to be recouped when the property is sold to make the venture worthwhile.

However, she asserted that this step could be a "savvy move" for prospective home loans customers hoping to sell their existing abode for a higher price than it will currently fetch.

Earlier this month, the Australian Associated Press reported that chief economist at Commonwealth Securities Craig James had identified a fall in interest among property buyers, an observation that may mean making a residence more attractive for other home loans applicants is all the more important.

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