Loft extension before side return to maximise ceiling price

[Housebuyingfamily]

We’ve got a 1900s 3 bed with a lean to conservatory in the side return and tiny kitchen. We need to knock it all through, steels, new footings and do a new kitchen etc. Likely to be very costly and not actually add much more square footage. Would take us well over area ceiling price for 3 beds.

Our friends have a similar situation but instead added 2 bedrooms in the loft. We didn’t understand their thinking, but realised their plan is to borrow against the increased value from being a 5 bed and use that to do the kitchen when remortgaging. And obviously 5 beds has a much higher ceiling price.

seems smart?

I'd be really careful to check recent sold prices of 3 and 5 beds of the same house type as yours. I've been looking recently and a 3 bed sold for £400,000 and the same house type with a loft conversion sold for £425,000 (West Midlands). So around here it would be a lot of work and you wouldn't make your money back.

House values are primarily driven by location and square footage.

Generally, you can obtain more space via a loft extension versus a side return.

Loft conversions are tricky and to really get a price increase need to be a first rate job and well thought out.

Friend of mine had one (semi in Kent). Like your suggestion he went from 3 beds to 5 but he barely made the cost back when he moved.

I think it’s easier to make the money back on more space downstairs

Do the loft first if you think you will ever need the extra upstairs space as the scaffolding for a loft is made trickier by an single story extension. It also makes it easier to have a temporary kitchen downstairs (as can move living room upstairs) whilst your ground floor kitchen is being extended. Can't comment on the cost/return factor for your area as I live in London where prices have risen ridiculously fast and high, so cost of work was about £150k, but value of house gone up by over £500k.

Why would you do a costly change and not add much square footage ?

It seems to me the plan is to spend a lot of money to add space you don't need in the loft (unless you are thinking of having a couple of extra kids) in order to help fund costly changes on the ground floor that don't increase the sqr ft.

I think it would be far easier to just move ?

Even when properties are still marketed by number of beds?

some excellent replies here though, thank you

Well summarised. We don’t need the loft space for the next 7-10 years.

Doing the downstairs won’t add much square footage because all we will do is replace the lean to with a proper extension, and knock through some walls.