What’s the "Lifestyle Score" of Your Home?
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 most likely includes the benefit of the lifestyle it gives you. For example, a spacious backyard pays off in countless pleasant weekends and evenings spent with family and friends. A home’s location near convenient commuting routes and transit means less stress getting to and from work. It could also be as simple as being close to your favourite restaurant or shops.
Lifestyle factors are important, not only when considering where you are living now, but also when considering where you think you would like to live in the future.
That is why it is a good idea to do a “Lifestyle Assessment” of your home regularly. This exercise is simple. Make a list of all the lifestyle characteristics you want in a home, as well as a neighbourhood and community. Think about how much room you need, the kind of neighbourhood you want to live in, your hobbies and interests, what it is important to have nearby (schools, amenities, parks, public transport...etc), 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. Your lifestyle list may be different than it was pre-pandemic as a lot of us were commuting more or spending more time out of our homes. Now that we are over 2 years into a global pandemic, it may be a good idea to reassess your list and ensure that your current home still fits your lifestyle.
If you are able to check off most (ideally, all) of the items at the top of your list, you are in pretty good shape. Your current home is probably fitting your lifestyle well.
But if some important lifestyle factors are unchecked, it might be worth considering whether buying a new house will give you a better “Lifestyle ROI”.
If, after doing this exercise, you are curious about how to get into your ideal home, give me a call!