Remodel or move? Don't forget all the hidden costs

It is hard to ignore a house that isn't working for you.

Your frustration typically comes down to two things: Either your circumstances have changed (more people in the family, fewer people at home, more money coming in, less money coming in, etc.) or you have changed (frankly, you are no longer willing to put up with the lack of storage, can't stand one more winter scraping the ice off the windows of your car, fill in the problem here).

When you decide you have had enough, the tough question you face is: Should I move to a new home or remodel the one I have?

The real estate market is still sluggish and in favor of the buyer. However, if you choose to move, you may be sitting in the middle of a Catch-22.

Although you will be able to get a steal on a new house, you will not get the price you want for your house. If the only thing you don't like about where you live is your house, then you may want to stay and remodel.

While the economy throws in a few more wrenches, both options still have their pluses and minuses. With that said, remodeling may have an edge considering we have never heard someone say they enjoy moving, but we have heard people say they enjoy remodeling.

Despite the mess, noise and inconveniences that come with remodeling, it can also be fun, exciting and emotionally satisfying. This helps to balance out the inevitable times that remodeling is emotionally draining, time-consuming and stressful.

When remodeling, you can customize your home to your family's wants and needs. However, with moving, on top of the normal hassles (packing and unpacking, getting to know a new area, new neighbors, new schools and changing your address a hundred times), there may be some buyer's remorse when you start to discover the new home's shortcomings.

When actually living there, you will find problems that you didn't notice when touring the open house. Very few homeowners find a house with everything they want already. When you buy there will be some compromises, and you may well end up remodeling the new home down the road.

In this remodel vs. move problem, cost is probably the No. 1 factor people use in determining their decision.

But remember to account for the "hidden" costs of moving. These include real-estate agent commissions, mortgage fees, closing costs, hiring movers and vans, and having to finish all those projects that must be done in order to sell your home.